Subject: Green Merger News - A Great Season Underway
In this issue:
Commentary:  A Great Season Underway
Why You Should Exit Your Business While You Are Ahead
Recent Transactions
Tools for Business Owners
  PREScore - Exit Your Business With No Regrets 
  Value Builder Score
  Value Assessment
About The Principium Group
A Great Season Underway
To our clients and friends:

We hope you have a great season underway.  We know this is a challenging time of the year for many industry business owners as the season cranks up.  While individual situations vary of course, many in the industry seem to be having a great year and would probably be  having an even greater year if not for the labor challenges which continue to weigh in the industry.  We salute the industry groups which are focused on helping the industry cope with the continuing labor challenge, including NALP's Industry Growth Initiative and its advocacy efforts at both the federal and state levels.  At the business owner level, it is also inspiring to see many business leaders sharing how they have coped and prospered in spite if the labor market.

The merger & acquisition market has continued at a strong pace through the first half of the year.  We have seen several notable transactions close and a new potentially national player emerge.  Barring unforeseen developments, we expect these trends to continue through the balance of the year.

As always, if you are ready to discuss the sale or acquisition of a lawn or landscape business, we would welcome the opportunity to speak with you.  Give us a call or send us an email.

Ron Edmonds
901-351-1510 (cell)
Why You Should Exit While You Are Ahead - A Cautionary Tale
Business owners often ask us what the best time to sell their business is. Needless to say, that is a complicated question that involves the intersection of different, often competing issues including the readiness of the business to be sold, the readiness of the owner to sell and current and future economic conditions.

The very best time to sell your business is when someone wants to buy it. While it can be tempting to continue to grow your business forever – particularly when things are going well -- that decision comes with a significant downside.  

The future always holds risks - and, in the case of selling your business, there are many different risks to consider.  There is the risk that your business will encounter issues that make it harder to sell or less valuable.  There is the risk that something happens to you or key managers that makes a sale more difficult.  And, of course, there are macro factors far beyond the control of a business owner that may make the sale of the business in the future more difficult or impossible.  We are well into an up business cycle for business sales.  It is possible to imagine that cycle going in for several years, but you cannot escape the fact it is a business cycle and it will nit go on forever.  We cannot predict when the cycle will end, but we know that it will end.

This article tells the tale of a business owner who waited too long and did not take advantage of an opportunity.

Recent Transactions
Here is a recap of recently reported merger & acquisition transactions  in the lawn and landscape industry:

Sperber Landscape has acquired Kujawa Enterprises, Inc. of Milwaukee, Wisconsin.  Thus is the first acquisition for Sperber after it announced an ambitious plan to build a new national landscape company.  More information.

Heartland has acquired Hillenmeyer Landscaping of Lexington, Kentucky.
More information.

BrightView has acquired Luke's Landscaping in Florida and Desert Classic Landscaping in Arizona.  Both were formerly owned by FirstService Corporation.  More information.

JMR Landscaping has acquired Thames Landscaping in Illinois.

SiteOne  Landscape Supply has acquired Fisher's Landscape Depot in Canada.

SiteOne Landscape Supply has acquired Stone and Soil Depot in San Antonio.
More information.

In Sweden, Green Landscaping Group has agreed to acquire grounds m,anagement compoany Mark & ​​Trädgård Skottorp AB

Experience tells us that business owners who have a goal for a successful exit and a plan on how to achieve their goal are far more likely to have a successful and satisfying exit.
The Principium Group offers several tools to assist business owners in planning their business exit.
PREScore focuses in a business owner's personal readiness to exit.
Value Builder Score focuses on your business's readiness for a sale or other exit transaction.
Value Assessment provides an objective view of the value of your business.
We invite you to use these tools as you consider your business exit and develop your goal and plans.
Are you ready to exit your business?
Do you understand your options?
Do you know what is most important to you?

We are making available a new tool to help you explore the answers to those questions.  It is called PREScore.  Exit Your Business With No Regrets.

PREScore™ (or Personal Readiness to Exit Score) is an 8-minute, online questionnaire that evaluates a business owner’s readiness to exit their company on a personal level. Using an exclusive algorithm – developed by analyzing more than 40,000 business owners and conducting more than 200 in-depth interviews with owners who have recently sold – PREScore™ calculates an owner’s readiness by identifying their status on each of the 4 drivers of a satisfying exit. 

Do you have a business that is valuable & sellable?
Find out by taking a brief online questionnaire to receive an immediate Value Builder Score of between 1 and 100 for your business. You will also receive a 26 page report full of charts and graphs that will give you insights into how buyers evaluate your business.
Do you understand the value of your business?
Understanding the value of your business is a key step in exit planning. We offer cost-effective valuation services which help you understand the value of your business and the factors that drive that value.  Contact us for more information or to get started.
The Principium Group provides merger & acquisition and advisory services  to lawn, landscape, and other service businesses.
Our professionals have assisted business owners in hundreds of transactions. For buyers, Principium provides assistance and counsel in strategic planning, identifying potential acquisition targets, due diligence and planning for successful integration of acquisitions. For sellers, Principium provides assistance and counsel in evaluating strategic alternatives, identifying and negotiating with potential acquirers and assisting with transactions from due diligence through the closing process. In order to provide the highest quality service, we maintain relationships with other professionals serving the green industry and can access those professionals to supplement our internal resources. No matter how large or small your business may be, we have the resources to serve you well. We understand that the decision to buy or sell your business is a profound one, and we pledge to work with you in a professional and confidential manner while we help you navigate this often confusing process.
Whether you have immediate plans to buy or sell a business or may sometime in the future as part of an exit planning strategy, we would welcome the opportunity to talk with you about your business.
The Principium Group

P.O. Box 414
Cordova, TN 38088
Ron Edmonds

Chris Martin
888-229-5740, ext 103


The information included in this newsletter is derived from publicly available sources. Our intent is to give a perspective on the industry taken as a whole. The inclusion of a transaction in this newsletter does not imply that The Principium Group acted as an advisor to either of the parties to the transaction. It is the policy of The Principium Group always to maintain the confidentiality of its client relationships. For those transactions in which The Principium Group did play a role, the information included herein is still limited to that available through public sources.
Principium Group, PO BOX 414, 38088, Cordova, United States
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