New Deals: A medical screener for prison inmates, automotive hail damage repair business, and 3 other finds

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NEW DEALS

1/ Medical Screening for Prison Inmates

📍 Location: N/A
💰 Asking Price: $7,000,000
💼 EBITDA: $1,196,573
📊 Revenue: $2,021,365
📅 Established: 2004

💭 My 2 Cents: This traveling medical practice stands out both for its distinctive niche and its great margins, as it brings in an impressive cash flow by providing endoscopic screenings and consultations for prison inmates in two states.  They have a very stable operation as they have one long standing contract that auto renews (no expiration) and a newly signed contract expected to expand the business well beyond their current numbers. Historically the owner, who is a physician, has handled all the cases, but with the addition of the second contract they have brought on more staff. Given the obvious client concentration issue here, I’d need to dig into the nature and terms of each of the contracts to understand the possible risk of losing either one. I’d also want to look into any licenses or qualifications required to operate the business, how they recruit and retain staff, if the current contracts transfer to a new owner, and their growth potential in their current or adjoining states. As a plus, the owner is open to staying on (which could help with the contracts) to assist with the caseload on a per-fee basis and to carrying 10% of the equity.

2/ Automotive Hail Damage Repair Business

📍 Location: Colorado
💰 Asking Price: $3,200,000
💼 EBITDA: $1,146,000
📊 Revenue: $4,000,000
📅 Established: 2014

💭 My 2 Cents: This auto repair business, aptly located in Colorado where there is no shortage of demand, specializes in handling damage caused by hail. I really like their simple business model, established referral network that includes corporate and fleet accounts, excellent record of customer satisfaction reflected in high Google ratings, and great profit margins. I’d be concerned about how susceptible their earnings are to specific weather conditions year over year, so I’d want to look into adding a broader range of auto body repairs to limit the impact of lighter hail years. I’d also need to get a handle on their revenue split between retail customers and corporate/fleet contracts, how they bring in new business, how much competition they face, how they manage seasonality, the breakdown of their staff, and the value and condition of any FF&E included in the sale. For someone looking for a profitable remote opportunity, the sellers are willing to negotiate an arrangement where they stay on longer term. 

3/ Carpet and Flooring Business

📍 Location: Colorado
💰 Asking Price: $2,500,000
💼 EBITDA: $733,822
📊 Revenue: $5,213,368
📅 Established: 2006

💭 My 2 Cents: There’s nothing too complicated or flashy about this established carpet and flooring company, as they offer a service that people need (from wear and tear, style updates, and insurance claims from flood and fire damage) and, with their focus on the residential market, are not dependent on new home construction for demand. I like their stellar reputation, consistent profitability over time, and, given the often high level of competition in their space, how they differentiate themselves from competitors through a “mobile showroom” offering customers personalized consultations in their own homes. I’d want to know their percentage of sales from residential versus commercial clients, what their supplier relationships are like, how they identify and win new clients, the qualifications and experience of their staff, and the day-to-day role of their owner. While this isn’t a major concern, I’d also need to inquire whether they could face potential competition from national companies or franchises.

4/ Garage Installment Company

📍 Location: Illinois
💰 Asking Price: $4,500,000
💼 EBITDA: $1,176,219
📊 Revenue: $6,664,725
📅 Established: Over 65 years ago

💭 My 2 Cents: With a history spanning over 65 years, this garage installment company has carved out a strong market presence in the Midwest. I really like their hard-earned reputation, experienced management team, and many long-tenured employees. They also own a lumber yard, significantly lowering the cost of goods sold. The company largely relies on subcontractors, which gives them a lot of project flexibility, but you could increase their margins by bringing in more work in-house. However, I’d need more info on their lumber yard, including whether it brings in additional revenue or solely supports the installation business. I’d also want to check into their revenue breakdown between installations and repairs, what FF&E and inventory are included in the sale, how they distinguish themselves from competitors, and if they are conversant with the latest smart garage technology (if not, this could be a growth opportunity). Assuming everything checks out, this should be a time-tested, high-revenue, turnkey operation.

5/ Door and Millwork Distributor

📍 Location: Washington
💰 Asking Price: $4,700,000
💼 EBITDA: $1,161,000
📊 Revenue: $5,230,774
📅 Established: 2005

💭 My 2 Cents: In construction-related fields, it can take years to develop both industry-specific know-how and a top-notch reputation for dependable, high-quality work. This regional door and millwork distributor has operated for almost two decades, acquiring strong relationships with general contractors and commercial builders while emerging as a leader in their local market. I like their commercial client base, as they don’t have to deal with direct-to-consumer marketing and sales, established supplier relationships, and extremely efficient production processes. I’d need to find out who their key clients are and if there’s any risk of concentration, how they reach new clients, who their main competition is, if they have any proprietary products, the nature and condition of any included FF&E and inventory, and how much growth their current facilities and staff could support. If you have construction industry experience, you are who the seller, who is open to negotiating ongoing support for a new owner, is ideally looking for in a buyer.