New Deals: A plumbing business, roofing business, and 3 other finds

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NEW DEALS

1/ Plumbing Business

📍 Location: New York
💰 Asking Price: $4,000,000
💼 EBITDA: $1,200,000
📊 Revenue: $2,286,000
📅 Established: 1990

💭 My 2 Cents: Plumbing businesses are always worth checking out if you’re looking for an essential business with steady demand. This plumber, in operation for 35 years, has a very robust pipeline of contracts extending into 2027, providing some really nice forward-looking revenue stability. I like their mix of residential and commercial clients, lean business model where suppliers ship directly to their job sites (eliminating the need for storage facilities), and strong cash flow and margins. I’d want more details on their pipeline, including any visibility for projects beyond the currently contracted work. I’d also need to understand their revenue split between new and repeat clients, if they have service agreements that generate recurring revenue, the roles and responsibilities of their staff, and how much they could expand before needing to add additional employees and equipment. If that all checks out, then the seller is willing to use their license to support a new owner and is also open to accepting an extended earnout tied to contracted future projects, which could help make the acquisition more affordable.

2/ Roofing Business

📍 Location: Pennsylvania
💰 Asking Price: $7,900,000
💼 EBITDA: $1,700,000
📊 Revenue: $4,700,000
📅 Established: 2004

💭 My 2 Cents: This highly profitable roofing company has earned a stellar reputation, with nearly 1,000 five-star Google reviews, while gaining a dominant 25% share of their local market. I like their 50/50 diversification between residential and commercial work, team of long-term managers who lead a skilled in-house workforce (no need for subcontractors), and provision of off-season services such as interior renovations and snow removal, ensuring year-round revenue. I’d need to get a handle on their relative volume of new installation versus repair work, percentage of jobs that come from insurance claims vs. direct customer sales, how they bring in new jobs to include their bidding success rate, the nature and condition of the FF&E and inventory included in the sale, and the day-to-day role of the owner. In addition to the robust cash flow, there is a lot of room to expand geographically here, making this an appealing opportunity for someone looking to get into the industry.

3/ White Label SEO Agency

📍 Location: Georgia
💰 Asking Price: $2,350,000
💼 EBITDA: $730,000
📊 Revenue: $1,510,000
📅 Established: 2018

💭 My 2 Cents: This company primarily provides white-label SEO services to other digital marketing agencies, leveraging both extensive automation and their suite of proprietary tools such as private blog networks (PBNs) and citation sites to maintain amazing margins of over 65%. They have over 400 clients, including an impressive 150+ on autobill, and, with a team of 20 experienced employees, require the two owners to work only about 25 hours a week. I really like that this sector is going to continue to be important to businesses of all types going forward, so there should be a lot of growth potential here, especially with their ability to readily scale and sell to both B2C and B2B. I’d need to look into their standard contract terms, client retention rate, the percent of their revenue from white-label partnerships versus direct business relationships, how readily their proprietary tools can be transferred to a new owner, how they keep up with the latest technology (such as Google algorithm updates), and how dependent they are on the current owners for high-level decision making and sales.

4/ Case Management Software SaaS Business

📍 Location: Florida
💰 Asking Price: $10,600,000
💼 EBITDA: $2,000,294
📊 Revenue: $2,611,645
📅 Established: 1999

💭 My 2 Cents: I love SaaS businesses for their recurring revenue and great margins. This company, which specializes in custom software solutions for nonprofits, social service agencies, and transportation providers, fits the bill, as they offer a 90% recurring revenue model and 76% profit margin on an awesome $2M cash flow. Add to this their 25-year track record, their still expanding client list, and the sticky nature of their services and products, and you have something really intriguing. I also like that they’ve been able to grow with zero ad spend (relying on referrals and word-of-mouth), so there should be an opportunity for a new owner to implement a vigorous marketing and sales plan to spur further growth. I’d want more info on their client list, including their standard client duration and lifetime value and the relative distribution of their clients across the different software systems they provide. I’d also want to look into how they acquire new clients, how much they spend annually on R&D and technology and software upgrades, the roles and responsibilities of their staff, and what possibilities might exist for adding new product offerings. Overall, this seems like a very profitable boring (in a SaaS kind of way) business with a lot of upside.

5/ Vinyl Window & Door Manufacturer

📍 Location: Virginia
💰 Asking Price: $2,700,000
💼 EBITDA: $736,716
📊 Revenue: $6,656,394
📅 Established: 2004

💭 My 2 Cents: This business specializes in manufacturing and installing vinyl windows and sliding patio doors, serving a diverse customer base that includes custom home builders and multifamily developers. I like their dedicated in-house installation team (avoiding dependence on subcontractors), their long history of strong earnings, and the significant amount of hard assets (totaling nearly $1.7M) included in the purchase price. I’d want to check on how they differentiate themselves from competitors in bringing in new work, their level of repeat business, how they manage their supplier relationships, the condition and projected lifespan of their FF&E and inventory, if there are opportunities to improve (automation?) their manufacturing processes, and what would be involved in expanding their operations geographically. Ultimately, this looks like a very attractive turnkey that, with their vertical integration and tangible assets included, is offered at a very reasonable multiple.