Commercial Glazing Contractor - $11.6 Million Revenue
Our client is a 75-year-old, successful, regional glazing contractor primarily engaged in the construction and renovation of commercial buildings. Most of the projects are exterior new construction, with renovations and glass interior structures representing rapidly growing business segments. The company’s building projects encompass a wide range of industries including healthcare, office, education, and manufacturing.
The business is in southeast Michigan with a population of 11.5 million in the general area served. With significant investments being made in the thriving metro areas, business prospects are very favorable for this commercial glazing business.
The office consists of an extraordinarily strong staff of estimators, project managers, engineers, and support personnel, with most having 20 or more years of experience working for the company. This team often gets involved directly with general contractors and architects during the project planning and budgeting stages. The union field crew and fabrication shop employees average 45+/- and are comprised of superintendents and skilled laborers who understand quality, cost, and the importance of project timeliness. The company staff is aided by the comprehensive use of an industry appropriate, well regarded Sage 300 software.
Until March 2020 when the COVID virus shutdowns occurred, the company was on a significant growth pattern.
• 2017 - $11,638,000 • 2018 - $14,589,838 • 2019 - $15,396,000 • 2020 - $11,600,000
For the above 4 years, the average annual SDE (the historical, normalized cash flow available to pay an owner-operator and service debt) was nearly $1.0 million, the average EBITDA was $750,000.
The seller envisions an asset sale in which he retains cash and A/R while retiring all liabilities. The likely buyer would qualify for an SBA loan with only 10% buyer cash. The remainder of the amount due would be a combination of seller and bank financing. Historically the business has been able to generate enough cash to pay an experienced owner/operator a $150,000+ salary, and still be able to service the debt payments.
The SBA is currently offering waived fees, and three-six months of forgiveness (not deferred but waived) on monthly payments for deals closed before Sept 30, 2021.
For more information on this attractive, value-priced, full-service glazing contractor business opportunity, please contact Glen Toadvine at 734-929-9032 or [email protected] or Steve Kandt at 734-474-1161.