Podcast with Jeff Harkness of 3PG Advisors
What if your landscape company is growing, but you’re quietly eroding value at the same time?
I’ve spoken with hundreds of lawn and landscape business owners over the years, and far too often, we equate growth with value. Many chase top-line revenue milestones, $5M, $10M, $200M—as if they’re proof that they’ve built something solid.
But the truth? Revenue is a vanity metric. Real value lies deeper, and if you don’t understand what drives it, you may end up with a business that looks great on paper but fails to deliver when it matters most.
Recently, I sat down with Jeff Harkness, CEO of 3PG Advisors, to unpack the five pillars of enterprise value, what truly separates sellable, scalable companies from the rest. Jeff’s team has worked on over $1 billion in green industry mergers and acquisition deals.
So...when he talks about value drivers, we'd all be wise to listen.
This content is gold for owners who want to build a business that’s both profitable today and valuable tomorrow, whether you plan to sell or not.
Lawn & Landscaping Company Value Isn’t Just Revenue
I’ve lost count of how many times I’ve asked, “What’s your revenue?” only to hear a business owner respond with pride, but no real sense of how profitable or healthy their lawn care or landscaping business is.
Jeff echoed this concern. “A $15 million company might not be worth more than a $7 million one,” he explained, “if one has stronger gross profit margins, better cash flow, and a more sustainable model.”
Private equity firms don’t fall for surface-level metrics. They care about cash flow, leadership, scalability, and systems. If all your value is tied up in your trucks, equipment, and your own shoulders, you’re vulnerable.
The Five Real Drivers of Enterprise Value
When I asked Jeff what truly moves the needle in an M&A deal, or even just a company’s marketability, he didn’t hesitate. He laid out five essential value drivers:
1. Leadership and People
“We invest in teams, not just owners,” Jeff said. Buyers want depth, not just a dominant founder. If you’re the bottleneck in your own company, that’s a problem.
Image Source: Landcrafters Florida
Both Jeff and I have seen firsthand how lawn care and landscaping businesses stall because the team hasn’t been empowered to lead.
2. Recurring Revenue
Contracted, predictable income is far more valuable than project work. Maintenance, turf care, and other services with built-in continuity are more attractive to buyers—and more resilient when the economy shifts.
3. Clean Financials and Compliance
“If your books are a mess, you won’t even get to the deal table,” Jeff warned. He sees this all the time, companies that are killing it in the field but can’t produce accurate P&Ls or job costing reports.
Clean, compliant financials are foundational.
4. Scalability
Buyers want to see the potential to 3x or 5x their investment. That requires more than past performance. It requires a roadmap and systems for the future.
Image Source: Outback Landscape
“If you’re at $10 million,” Jeff said, “show me how you get to $30 million and who’s going to help you do it.”
5. Operational Maturity
This includes tech, training, documented systems, and yes, marketing.
A lawn care or landscaping company that has already modernized and still has room to grow is a far safer investment than one running at full tilt with no capacity or vision for what’s next.
Why Owners Need to Build for Value, Even If They Never Sell
I asked Jeff, "What about a lawn care or landscaping company owner that's out there that is saying, "I'll never sell this business."?
Jeff wisely responded that, regardless of your intentions, building for value gives you options.
It creates better careers for your team. It opens doors to future succession. It allows you to take chips off the table when the timing is right. And, let’s be honest—it feels good to know your business is healthy, self-sustaining, and marketable even if you never plan to leave it.
Image Source: Tropical Gardens Landscape
Jeff explained this perfectly during our conversation. He uses a three-legged stool analogy that answers three core questions:
- How much money is enough?
- Where do you want to spend your time?
- What is your sense of purpose?
Value creation helps answer those questions—and gives you the freedom to act on your answers.
Marketing Drives More Value Than Most Owners Realize
Here’s where I get on my soapbox.
Lawn care and landscaping marketing isn’t just about generating leads.
It’s about proving who you are—your systems, your people, your professionalism, your vision. When done well, it drives growth, retention, and recruitment—all of which directly affect valuation.
And this isn’t just theory. I have had conversations with past clients who have been acquired. Their strong brand, consistent message, and well-documented processes made their company feel more “buyable.” And when marketing is integrated into sales processes and performance, it can unlock better deal terms.
Image Source: Seacoast Turf Care
Jeff backed this up, saying, “Marketing and business development are key to driving net organic growth—and buyers want to see high single-digit or low double-digit growth year over year, even after churn.”
He also mentioned that strong marketing systems can add “one to two turns on a valuation multiple.” That’s a huge financial impact.
So yes, marketing matters. Not just because it looks good, but because it builds trust, reduces risk, and makes your lawn care or landscaping company more appealing to customers, employees, and potential buyers alike.
Don’t Cut the Wrong Costs
One red flag I’ve seen repeatedly is when private equity firms acquire a company and immediately slash marketing spend. Jeff has seen it, too.
The logic is usually, “Let’s cut everything that doesn’t drive results this quarter.” But that mindset can erode long-term value. When you stop telling your story, stop recruiting publicly, and stop investing in digital content, it creates a gap that others will fill.
Marketing content such as videos, case studies, team profiles, and project documentation isn’t a luxury. It’s infrastructure. It’s reusable, scalable, and critical for sales, recruiting, and customer retention.
(Check out the Recruiting Video below that we created for Oasis Turf & Tree)
As Jeff put it, “These assets drive growth, but they also support retention and recruiting. It’s not just one lever. It’s three.”
Want to Grow Value? Stop Winging It
If there’s one thing I want lawn care or landscaping business owners to walk away with from this episode, it’s this:
You can’t wing your way to enterprise value.
You need a plan, a real one. That means strategic goals, performance targets, investment priorities, and accountability. It also means looking 1, 3, and 5 years out, not just 30 days.
Jeff closed our conversation with a great reminder: “The best companies don’t happen by accident. They’re built with intention.”
I couldn’t agree more.
Marketing to Build a Valuable Lawn Care or Landscaping Company
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