Selling my pet sitting business - advice please

[Morgan]

Doh, just wrote a post and its been eaten by the system!

It's a sad day as for reasons I can't go into, I've got to sell my pet sitting business. I've been running it solo full time for just over 3 years now and although its small potatoes in comparrison to most people on here, I love doing it which was the most important thing to me.

To give you some basic info I take an average of £1000 - £1200 per month, that can easily double in summer. Every month I pay myself £800 which leaves money in the business for outgoings (main one being petrol) and also for tax/insurance/advertisiting etc.

I have a client list of about 200 people but the core of the business is about 20 clients who use me every week for dog walking and they are the bread and butter of the business. I also have about 15 regular cat sitting customers and the rest of the clients use me probably once or twice a year when they go away.

I figure I have 2 options to sell it -

1.) Sell as a whole including the name/website etc and my logo'd vehichle if required, to a new person wanting to start up in pet sitting.

2.) Approach my competitors to see if they would want to buy the list of client names to expand their exisiting business's.

I'm not sure if I'd sell it then tell my clients although if I am advertising it locally then chances are they may even see it. I also am aware I have a lot of their personal information and house keys etc that I wouldn't just handover to someone new without the clients say so.

All this is assuming of course I can sell it? It's been a labour of love for me building it up and as I say its been a dream job for me it really has so it would be a shame to simply wind it up. Also of course it would be nice to get some money for it and most importantly I would love to see all my lovely clients handed over to a nice new person as I'm so attached to all the pets I care for. Any advice welcome please.

 

[Morgan]

Any advice please anyone? Thank you.

 

[Christine Hough]

It sounds as if you are very sad to see it go. But it is a problem when your business is yourself. I know asmy husband is a piano teacher and similarly cannot just sell to someone else.

It sounds the obvious, but what you need is to find someone who would beinterested in buying it from you. I would try that rather than selling your client list. (I am not sure how you would stand with data protection)

We are in the dark about why you are having to sell, but is there an option of employing others to keep it going for you? This might be better if it is a temporary situation you are facing.

 

[Christine Hough]

By the way, where are you. Local people may be able to help more specifically.

 

[Morgan]

Thank you Christine. Yes I know what you mean, I am the business so to sell isn't easy. There is no option of employing someone, having been down that route before it just doesn't stack up financially and I've heard so many times from others about staff who just end up stealing clients etc I don't need the worry of it, I think the best thing would be to find someone who takes it on lock stock and barrell. I'd be more than happy to do a full handover and go with the new person to meet the clients etc. I genuinely don't want to let my customers down and I feel like I am to some degree at the moment.

I don't know if I should mention it now to them that I will be stopping doing this but am looking to someone to replace me or to keep quiet until I have. I'm in Derbyshire by the way.

 

[papverpoppies]

Have you any idea as to what price you would be asking for your business.

The only other thing I can suggest is registering on some of the large pet related message boards, and see if you can get any interest from anyone on them.


Dogpages has thousands of members
http://www.dogpages.org.uk/forums/index.php
Champdogs another well known/established board.
http://www.champdogsforum.co.uk/

Some of the dog magazines have blogs/web pages.

Coldwetnose is Beverley Cuddys (Editor) blog - from dogs today magazine
http://coldwetnose.blogspot.com/

Horse and Hound
http://www.horseandhound.co.uk/forums/ubbthreads.php

Ask some of your local rescues (they may have someone who walks the rescue dogs for them - who may like to buy a business.

I am sorry you are having to let it go - it must have taken ages to build it up, and I know a business like this, is built on trust.

You could say to your clients that you are looking at selling the business - but working hard at trying to find someone to take it over - so they should not worry.

Give them fair warning. That way if they do hear anything you have been honest.

Whether you sell it as 1 complete business, or sell it in parts is up to you, and also down to who may wish to buy it.

I would think that with the figures you gave in your first post, someone will take it on.

You could try offering it to the larger organisations - email and ask them if they would be interested - you do not have to let them know your FULL details, just test the water.

I am sure you know that larger companies franchise out this work, so your client list may interest them.

Thought about franchising out yourself - or do circumstances rule that out.

Good Luck I hope all goes well.

Poppy

 

[Morgan]

Thanks Poppy. I'm not sure of price, I have tried to contact my accountant but not heard back yet. Off the top of my head I suppose a years takings would be nice or even a years 'wages' ie 12 x £800? I don't know its too much though. Obviously I'd want more if they wanted the logo'd vehicle.

It is is definately built on trust, my clients and I have a great relationship and they often say they don't know what they'd do without me. Good point about the larger organisations I will give them a try. I've been down the franchising route before and its not something I'd want to do again to be honest.

 

[jim_gold]

Not something many professionals would put a value on at all I'm afraid.

Key thing is that it is a very localised opportunity.

But nevertheless would be a good lifestyle opportunity for someone local who loves animals and is either currently out of work or is not happy with their job.

But these people are unlikely to have much cash to stump up.

As an idea' have a think about no upfront fee to the right person, and once you find him/her, draw up a short agreement that let's you keep, say, £300, of the takings each month for the first year.

Try advertising / free listing service on local internet classifieds sites, newsagents, job centre.

 

[movietub]

You say you have a sign written vehicle - this may be the only financial value the business has to anyone.

The client list adds value to the business, but whoever buys the business will have to work full time and earn only £800 per week. As such the business is technically below zero value. Bottom line is there is no profit potential at all.

The salary you pay yourself is not business profit. The client list gets the business closer to 0 value than negative value. But doesnt add value that is worth paying for.

Sorry to hear you have to let it go, it sounds like you care about what you do more than profit anyway. I'm just being objective, I hope its not too unpleasant to hear.

I think you should consider finding someone that could sell their car, buy your vehicle and also make sure it's someone that cares as much as you do, is out of work, and give them a leg up by handing over the reigns. I don't often say it but sometimes the maximum value of even a business is not financial gain or payback.

The above plan doesnt cost the new owner anything or make you anything. But its a transferred a job you can no longer do to a person that may really need it.

 

[Morgan]

Thanks Movietub for your honest evaluation.

Just to add it's even worse as it's £800 per month wages not per week :redface:

I shouldn't have said full time as I don't suppose it technically is. In summer then yes you're looking at up to 10 hours a day but the rest of the year I suppose its more part time hours say 4 hours a day average. It'd really suit someone who wants to fit in a business they love round family life etc but yes definately not something you're going to become a millionaire for doing no but that was never the idea, I just wanted to do a job I loved whilst paying the bills.

 

[Morgan]

Just to add I suppose another reason I had hoped I could get more for the business than what's being indicated is that franchises for this sort of business go from an average of £9000 to £20,000 and with those you are starting from scratch with no clients at all. I'd be happy to do the handholding/training etc needed when I sold mine. Even for re-sale franchises they seem to go for the equivilant of a years takings.

 

Its a pity Morgan, because with a couple more years in this, you could have moved it all forward so much, with franchising, ecommerce, etc.....

Pity you have to sell now really, it has been interesting watching you through this forum work hard & build it up from scratch.

Good luck, whatever happens

 

[Morgan]

Thanks Comspec, I have found this forum invaluable as you say it's all been lived out on here, I guess I've gone full circle now!

 

I wish you well, you have been a very genuine and honest member here tbh.

 

[CoolioXXX]

I don't wanna sound rude but for this kind of money I wouldn't be prepared to be dealing with dozens of customers... What happens if some cat or dog dies or some **** like this happens:| I was getting this kind of money in the summer working for Currys

 

[Matt1959]

oh dear sounds almost troll like, cue Scott

 

[Morgan]

Well pets do die, owners die, they move away, circumstances change and they no longer need me but for every door that closes another ten open. I've turned away 6 customers this week as I can pick and choose which I want to take on, there is no shortage of new customers wanting my services.

I know its not a lot of money, its £10 per hour I make but as I keep saying that's not the point, its a lifestyle business not something that would suit everyone but for the ones of us that are nuts about animals and want to work outside being our own boss it's brilliant!

 

[Christine Hough]

What does it profit a man ( or woman) if (s)he gains the World but losses their own soul?

Many would rightly envy such a settled and rewarding business and I am sorry that Morgan is having to leave what she has built up.

 

[vvaannmmaann]

Does having a pure soul pay the bills?

 

[dynamic08]

I dont think its worth more than around 1-2x monthly turnover.