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Foundation & Underground Rental Equipment with $8M in Assets

2 Locations with 75% Repeat Clients

CASH FLOW
$2,700,000

Specifications

  • Price
    $10,900,000

  • Revenue
    $18,000,000

  • Cash Flow
    $2,700,000

  • Equipment
    $7,882,331

  • Profit Margin
    19%

  • Employees
    6: 1 COO/Sales manager, 1 Project and Operations Manager, 1 Accounting and Sales Representative, 1 Office Admin, 1 Lead Mechanic and Technician, and 1 Yard Manager and Technician Consultant.

  • Service Area
    Southwestern United States

  • Intangible Assets
    Long-term industry knowledge and experience, reliable industry professionals, sole distributorship

  • Multiplier
    4.45

This foundation and underground rental equipment business operates out of two locations and specializes in directional drilling with over $8M of equipment in their inventory fleet. This nearly $8M in hard assets collateralizes 84% of the Buyer’s Financing of the purchase. With a primary location in Phoenix, Arizona and a second location in Salt Lake City, Utah, they are able to service general contractors, subcontractors, specialized contractors, foundation companies, electrical companies, waste management, infrastructure contractors, owners of large equipment in the Southwestern sector of the United States. Their services include rental, sales, repair, and maintenance of niche equipment, including foundation & directional drilling equipment, cranes, and rotators. The team is well known for their excellent customer service and consists of 6 members including the COO/Sales manager, the Project and Operations Manager, the Accounting and Sales Representative, an Office Administrator, the Lead Mechanic and Technician, and a Yard Manager and Technician Consultant. The owner oversees sales for only 15-20 hours a week, which the COO is being mentored to absorb and the current owner is offering a training/transition.

 

Established over 15 years ago, this well-known business offers a solid reputation with only two competitors. Other growth opportunities could include expanding their reach into Texas. They have a client base made up of 75% repeat customers: This is primarily due to clients renting equipment, and then realizing they need to continue renting the unit for increased job performance or purchase it outright.

 

Priced at $10,900,000 this business is ready for new ownership to step in and enjoy continued growth. The current owner believes in the business’s onward & upward revenues and, as a show of this faith and to mitigate the risk for future ownership, is willing to offer a 15% promissory note. 

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210 N 78th St. 2nd Floor
Omaha, NE 68114

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The Firm makes no warranties or representation in consideration to the information provided above. All communication regarding this business must occur directly with The Firm Advisors, LLC. The Firm is not a real estate brokerage and does not sell real estate. The Firm solely advises on exit strategy.