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- RE: Cash Flow Strong Specialized General Contractor
- Contact: Karin Neumann
Quick Facts
Asking Price: | $995,000 | |
Annual Revenue: | $2,500,000 | |
Net Profit: | Not Disclosed | |
Cash Flow: | $350,000 | |
Total Debt: | Not Disclosed | |
FF&E: | Not Disclosed | |
Real Estate: | Not Disclosed | |
Year Established: | 1980 | |
Employees: | 2 | |
BBN Listing #: | 980352 | |
Broker Reference #: | 1492-2116C |
Business Overview:
This well-known Specialized General Contracting Company focuses on condominium building renovations (common areas, exercise rooms, community rooms, reception areas, etc.). This market is recession-proof, as building owners/managers must maintain property appearances and values. The company also performs work in commercial office environments, restaurants, private clubs and medical office spaces. The firm enjoys significant operating margins and documented profitability with sales in the greater Washington D.C., Maryland and Virginia metropolitan areas.
The company has been fully reviewed and conservatively appraised by an accredited national valuation firm at 4.0x EBITDA (ttm). A full valuation report is included and there is $20,000 in Net Working Capital included in the deal. By implementing the proposed deal structure an owner operator will obtain close to $210,000 in annual benefit after-acquisition- debt cash flow in Year #1 – almost 105% return on equity investment.
A comfortable transition period will be provided by the owner who truly wants to see the business continue to flourish. The seller will consider a mid-term consulting agreement thereafter. A very well-trained and highly qualified subcontractor team will stay in place and support the new owner in all project delivery aspects of the business.
(ALL DATA BASED ON SIGNED TAX RETURNS)
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Property Features and Assets:
This business currently operates with no physical requirements for a client facing office, warehouse space or other associated costs.
Market Competition and Expansion:
The company enjoys a competitive advantage by developing longstanding relationships with their clients and providing a high-end quality product. The company’s projects have high visibility requiring clear understanding of requirements and “delivering on a vision". The company manages the projects using a core of long term, quality subcontractors, which allows the ability to easily scale and balance workload.
It is projected that a new owner could obtain significant additional growth by expanding their sales and marketing efforts into hotel common areas, office build outs or the high-end residential market with a minimal investment of $75,000. The company projects a revenue growth rate under such premise of 10%+ per year.
Reason for Selling:
Retirement (consulting available)Additional Details:
- The property is Leased.
- The owner is willing to train/assist the new owner.
- This is a homebased business opportunity.
- This is not a franchise resale opportunity
Relevant Links:
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