Listing ID: 72693
Business Overview
Established in the late 1960s, this multi-state licensed electrical contractor (CA and OR) continues to recover, engaged 75% with governmental agency work such as FAA, ODOT, Caltrans installing medium voltage systems for airports, roads, and infrastructure plus off-grid renewable energy projects; and 25% for the private sector installing commercial and residential service, signage, lighting, and emergency and alternative power systems. With a fully licensed, very experienced crew capable of bidding and performing the work, this business could be acquired by a strategic trade buyer to capture the contracts and crew required to operate. Seller will act as GSS and include office lease for $1,000 month Two M2 zoned acres with 1600sf structure valued at $350,000 is available. An SBA RE loan is available for $1706/mo with 10% down @4.25% for 25 years with a business acquisition loan.
Future projects include the I-5 corridor electrical vehicle charging network; continued exclusive with OR Lottery sign installation; regional & local airport conversions to LED lighting and hardening of infrastructures with off-grid backup power; exclusive direct HVAC wiring installs; resale or trade of myriad breakers, boxes, anchor bolts, wiring, hangers, Romex and BX at zero cost. Equipment includes Hyster forklift, five bucket vans, four service vans, 5 T dump, 20T 8 wheel trailer, trencher, 55′ boom truck, bulb eater in 2000sf office with 12’x12′ rollup. EG10545
Financial
- Asking Price: $847,000
- Cash Flow: $393,386
- Gross Revenue: $1,136,584
- EBITDA: N/A
- FF&E: $250,000
- Inventory: $125,000
- Inventory Included: Yes
- Established: 1968
Detailed Information
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:2,000
- Lot Size:N/A
- Total Number of Employees:4
- Furniture, Fixtures and Equipment:N/A
Hours Monday thru Thursday from 6:30 am to 4:30 pm Real Estate Available at $350,000 not included in the purchase price SBA approved
52 weeks, 5 hours per week
Retirement
Additional Info
The business was founded in 1968, making the business 54 years old.
The transaction does include inventory valued at $125,000, which is included in the suggested price.
The company has 4 FT/3 PT employees and resides in a building with estimated square footage of 2,000 sq ft.
The building is leased by the company for $1,000 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons people decide to sell businesses. Nevertheless, the genuine reason vs the one they say to you might be 2 completely different things. For instance, they might claim "I have way too many other responsibilities" or "I am retiring". For many sellers, these reasons stand. However, for some, these may simply be excuses to try to conceal the reality of transforming demographics, increased competition, recent decrease in profits, or a range of various other reasons. This is why it is really vital that you not count totally on a vendor's word, however rather, use the vendor's solution combined with your general due diligence. This will repaint a more reasonable picture of the business's present scenario.
Existing Debts and Future Obligations
If the existing company is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your offer. Numerous businesses borrow money so as to cover things such as supplies, payroll, accounts payable, and so on. Bear in mind that in some cases this can suggest that earnings margins are too tight. Numerous companies fall into a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future commitments to consider. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing agreements with vendors that must be satisfied or may result in penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area draw in new clients? Most times, businesses have repeat consumers, which create the core of their everyday profits. Particular elements such as new competitors sprouting up around the area, road building, as well as staff turn over can impact repeat clients as well as adversely affect future profits. One vital thing to take into consideration is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Certainly, the more individuals that see the business often, the greater the opportunity to develop a returning client base. A final thought is the general location demographics. Is the business placed in a densely populated city, or is it situated on the edge of town? Just how might the local median home earnings impact future income potential?
