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Non-Union Plumbing that is 100% B2B with Absentee Owner

Plumbing shop with repeat GC Client Base: Over 90 Licensed Staff – 68 million in WIP!

CASH FLOW
$6,006,391

Specifications

  • Price
    $24,000,000

  • Revenue
    $21,870,069

  • Cash Flow
    $6,006,391

  • Equipment
    $1,620,175

  • Location
    Sacramento, California

  • Employees
    98 on staff including Leadership plus 90 Plumbers & Field Technicians (Non-Union)

 

This thriving trades company works directly with a developer as the client, they do not provide plumbing services directly to a homeowner, nor do they have a service division. This make them a very unique plumbing organization that specifically works with general contractors and land developers who are “Neighborhood Production Builders.” Currently, there is Work in Progress over $68 million dollars, plus a strong backlog of 90 million that already has the funding. This backlog will stretch over the next 36 months. These are neighborhoods that are NOT affected by interest rates or residential real estate markets. This non-union shop has 98 employees on staff, with 8 in leadership including a President and a CFO, with the other 90 as trained plumbers and field technicians. The business services a 60-mile radius around Sacramento, California with 6 top reoccurring clients. Included in the purchase is working capital of $1M, along with $1.6M in equipment, vehicles, and improvements. The owner is selling due to age and retirement, though they owner is already in a passive role, providing only light oversight as needed. Their position would not need to have any replacement. Priced at $24,000,000, the owner is willing to hold 25% of the price as either a seller carry or equity roll, or a combination thereof, showing a vested interest in the ongoing success of the company after closing. There are several growth opportunities, including expanding into service & maintenance work, and targeting more apartment complexes for commercial projects.

 

Purchase Price:

$24,000,000

$
%
OR
$
%
OR
$
Years
%

Bank Loan Needed: $

Years
%
$
$
$
$
$

Funding Details

Business:

Offer Price: $

% Buyer Cash Down at Closing: $

% Seller Carry Back via Promissory Note: $

year term at a rate of %

% of Purchase Price secured by Buyer and Seller

Total Bank Loan Need: $

% of Purchase Price

Desired Loan Type:

Desired Bank Terms: year term at a rate of %

Total Business Assets, Inventory, and A/R: $

Total Undercollateralized Loan: $

Loan Payments

Monthly Payment to Bank: $
Yearly Payment to Bank: $
Monthly Payment to Seller: $
Yearly Payment to Seller: $
Total Monthly Debt Service: $
Total Yearly Debt Service: $

Conclusions

Fixed Charge Coverage Ratio

The bank will require a minimum ratio of 1.5 to be lendable.

Cash Flow:
TTM Cash Flow 		$
Annual Debt Service: $
RATIO:

Buyer's Net Operating Income (NOI)

The amount of money the Buyer will retain as profit.

Cash Flow:
TTM Cash Flow 		$
Annual Debt Service: -$
NOI:

Buyer's Return on Investment (ROI)

The rate of return on the Buyer's down payment.

Down Payment: $
NOI:
ROI: %

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210 N 78th St. 2nd Floor
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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.