HVAC & Plumbing Company – SOLD

Contact: Tim Carter
Phone: 616-560-1080
Email: [email protected]
Your Reference ID: TC1062016


The current owner/seller of this exceptional 30 year old Michigan business built his company by establishing a reputation for outstanding service and quality – and as a result it is the established “go to” company for plumbing, heating and cooling in its market.  The seller is rightly proud of the fact that his company “owns” the marketplace in a 20 mile radius of the 3,000 square foot home base which includes a shop suitable for all of the company’s fabrication needs.

As the owner approaches retirement age, he has decided to proactively seek the successor for his strong business. To insure the success of the buyer and the continuing success of the business, the seller is willing both to stay on for a negotiated transition period and to consider carrying a meaningful seller note.

The company, located in a desirable Mid-Michigan community, is fully licensed in both HVAC and plumbing. The business serves primarily the profitable residential marketplace and has a loyal and diverse customer base with no customer concentration. The company employs eight people who are all seasoned and dedicated. The attractive leased real estate is ideally situated on a main, high visibility road that is central to the service territory of the business.

The past three years, the company has averaged annual revenues of $1.2 million with a very impressive average annual SDE (seller’s discretionary earnings – the normalized cash flow available to pay an owner/operator and service debt) of $270,000. The listing price for the business at $749,000 is an attractive 2.77x average SDE. The price contemplates an asset sale which includes all fixed assets (with an estimated value in place of approximately $150,000) and goodwill. The sellers will retain cash and A/R while retiring all liabilities. Inventory (approximately $40,000 at cost) must be purchased separately.

For more information on this attractive business opportunity, please contact Tim Carter at tcarter@praxisbusinessbrokers.com or directly at (616) 560-1080.


Location(s): Mid Michigan

Asking Price: $749,000
Cash Flow: $270,000
Gross: $1,200,000
Inventory: $40,000

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