Business Overview

This profitable concrete contracting company has been in business for over 35 years. It completes residential and light commercial concrete flatwork and high-end finishing for general contractors, custom builders, and homeowners. It has built its reputation on quality work, finished on time and at the price quoted – all the while demonstrating the ability to hire and keep loyal, quality employees. We believe that this company would be an excellent opportunity for someone with a construction background to acquire a well-established company with a reputation for quality work, at competitive prices. Additionally, the community is expanding in both the residential and commercial industries, giving a new owner ample opportunity for growth in his/her area of desire or expertise.

Financial

  • Asking Price: $998,500
  • Cash Flow: $342,654
  • Gross Revenue: $5,372,169
  • EBITDA: $342,654
  • FF&E: $90,500
  • Inventory: N/A
  • Inventory Included: Yes
  • Established: 1984

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:35
  • Furniture, Fixtures and Equipment:N/A
Purpose For Selling:

Owner is retiring.

Additional Info

The company was established in 1984, making the business 38 years old.

Why is the Current Owner Selling The Business?

There are all kinds of reasons why people decide to sell businesses. Nonetheless, the genuine factor vs the one they tell you might be 2 totally different things. As an example, they might state "I have a lot of various commitments" or "I am retiring". For many sellers, these factors stand. But also, for some, these may simply be excuses to try to conceal the reality of changing demographics, increased competition, current reduction in earnings, or an array of other factors. This is why it is really crucial that you not rely totally on a vendor's word, however rather, use the vendor's answer in conjunction with your overall due diligence. This will repaint an extra sensible image of the business's existing circumstance.

Existing Debts and Future Obligations

If the current entity is in debt, which lots of businesses are, then you will certainly need to consider this when valuating/preparing your offer. Many businesses take out loans in order to cover points like supplies, payroll, accounts payable, etc. Keep in mind that in some cases this can mean that earnings margins are too tight. Lots of companies fall under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may also be future commitments to think about. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing agreements with vendors that need to be satisfied or might lead to charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the location attract brand-new customers? Often times, operating businesses have repeat customers, which create the core of their daily profits. Particular elements such as brand-new competitors growing up around the area, roadway construction, as well as personnel turn over can impact repeat clients as well as negatively impact future earnings. One important thing to take into consideration is the placement of the business. Is it in a very trafficked shopping center, or is it hidden from the main road? Clearly, the more individuals that see the business regularly, the higher the possibility to build a returning client base. A last thought is the general area demographics. Is the business located in a densely inhabited city, or is it situated on the outskirts of town? How might the regional mean home earnings influence future earnings prospects?