Profitable Central Michigan Condo Management, Landscape & Construction Company

Contact: Joel Hekler
Phone: 517-719-6401
Email: [email protected]
Your Reference ID: JH2020218

Description:

It has been a great 17 year run for the founder/owner/seller of this very successful and high cash-flowing business which manages a who’s who of desirable condominium associations while doing both routine maintenance and profitable construction projects for its condominium clients.

The business has a desirable Central Michigan location in a late model building just minutes from a major interstate. The business employs 17 full-time employees. The leased facility has 1000 square feet of office and 2000 for a shop and storage. There is ample parking for both the employees and the company’s vehicles in a dedicated, paved lot contiguous to the office and shop.

The three-prong niche of association management, landscape maintenance, and building improvements has resulted in both strong client loyalty and significant barriers to entry. With no customer concentration, the company has multiple clients under contract. Client satisfaction is shown by the company’s retaining its client’s year after year. In fact, the company regularly declines requests from other condo associations as the seller, at retirement age, is interested in transitioning his excellent business to a new owner-operator who could leverage the long-time success of the business by expanding to condo associations who are hoping to become new clients.

The business has rock solid annual revenues of $750,000 which generates an average annual SDE (seller’s discretionary earnings – the historical, normalized cash flow available to pay an owner-operator and service debt) of $225,000. The business is being offered for $648,000, an attractive 2.85x multiple of SDE especially given the business does not carry any A/R. The listing price includes more than $200,000 of very well maintained vehicles and equipment. In addition, the seller could carry a meaningful Seller note for a qualified buyer.

Please contact Joel Hekler at joel@praxisbusinessbrokers.com

Other Information:
Operates out of a 3000/sf leased late model building minutes from a major interstate.

Location(s): Central Michigan

Asking Price: $648,000
Cash Flow: $225,000
Gross: $750,000

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