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Lawn, Landscaping, and Tree Biz w/ $476K annual SDE 🌳

Under the Radar Weekly Deals

The #1 Boring Biz Newsletter

👋 Hey folks,

Welcome to issue #7 of Under the Radar!

This week’s issue features:

  • 🔩 11-year-old metal roofing and tiny home manufacturer

  • 🌳 Lawn, landscaping, and tree biz w/ $476K annual SDE

  • 💨 Commercial HVAC business w/ $2.2M revenue

Let’s get into it.

Hot Deals 🔥

Analyses of the top deals we found across various marketplaces.

#1. 11-year-old metal roofing and tiny home manufacturer

🏷️ Asking Price: $1,290,000

📍 Location: Kauai County, HI

Overview: This metal roofing and tiny home manufacturer serves a broad client base including homeowners, builders, and government agencies. With a solid reputation across the island, this business offers bespoke roofing solutions and has recently ventured into the tiny home market, meeting the local demand for affordable housing. The company enjoys robust demand and strong builder relationships, setting the stage for potential growth in interisland expansion and tiny home construction. The primary owner, holding 95% of the business, has relocated to the mainland, while the co-owner and superintendent, who prefers the hands-on work over managing the business side, is on-site and willing to stay post-sale to ensure a smooth transition.

Key Highlights

  • ~$1.07M annual revenue

  • ~$338K annual cash flow

  • $432K FF&E included

  • Solid team in place

  • 5% seller financing available

Growth Avenues 🚀

  • Develop partnerships with local governments and non-profits for affordable housing projects and offer customizable, sustainable tiny homes to attract a broader customer base

  • Strengthen distribution channels on neighboring islands, focusing on efficient logistics and building strong relationships with local contractors and businesses to ensure timely deliveries and maintain high product quality

Potential Risks 🚩

  • Although the business has established a niche, the presence of competitors and the potential entry of new ones could lead to price wars or a loss of market share. Keeping a competitive edge requires continual innovation and marketing efforts.

Questions❓

  • Who are the key suppliers and how reliable are they?

  • Who are the main competitors, and what advantages does this business have over them?

#2. Lawn, landscaping, and tree biz w/ $476K annual SDE

🏷️ Asking Price: $1,250,000

📍 Location: Brevard, FL

Overview: This established landscaping and tree service business has been operating since 2008. It has a solid reputation and a steady customer base, offering a range of services including lawn maintenance, landscape design, and seasonal decorating. The company is equipped with modern, well-maintained equipment and is supported by eight full-time employees. Currently holding 36 commercial and 191 residential contracts, the business shows consistent growth each year. The owner is looking to retire, offering the company for sale with training support and the possibility of SBA-backed seller financing.

Key Highlights

  • ~$900K annual revenue

  • ~$476K annual SDE

  • $420K FF&E included

  • 36 commercial; 191 residential contracts

  • 8 FTEs

Growth Avenues 🚀

  • Invest in digital marketing strategies, such as SEO, social media advertising, and a professionally designed website to reach a broader audience and attract more residential and commercial contracts

  • Develop loyalty programs or offer maintenance packages that encourage repeat business and secure long-term contracts with existing customers

Questions❓

  • Are there any leased assets, and what are the terms?

  • Are there any key employees whose departure could negatively impact the business?

  • What is the overall employee turnover rate?

#3. Commercial HVAC business w/ $2.2M revenue

🏷️ Asking Price: $1,500,000

📍 Location: Buda, TX

Overview: Established in 2019, this fast-growing commercial HVAC business has demonstrated consistent year-over-year growth and now serves multiple cities across Central Texas, including Austin and College Station. With over 53 years of combined owner experience in the HVAC field, the company has built a solid base of over 40 contracts, primarily servicing property management and light commercial companies. Key services include installation and preventative maintenance. This turn-key operation is well-suited for strategic buyers or those already in the HVAC industry, offering a well-maintained 3000 sq ft facility and up-to-date industry technology.

Key Highlights

  • ~$2.23M annual revenue

  • ~$518K annual cash flow

  • ~$311K annual EBITDA

  • 40+ existing contracts

  • Owners will provide transition support

Growth Avenues 🚀

  • Tap into the commercial growth in Dallas and San Antonio by setting up local operations, forming partnerships with developers, and customizing HVAC services for technological and sustainability needs

Potential Risks 🚩

  • Some of the existing contracts could be lost post-sale

Questions❓

  • Does the current owner exclusively manage the relationships with property management and commercial companies?

  • In what capacity would the owners be willing to stay on as employees?

Radar Picks 📡

Bit-sized reads featuring insights and fresh perspectives

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DISCLAIMER: This newsletter is for informational purposes only and should not be considered financial advice. It offers analyses of businesses without endorsing any specific financial actions. Readers are advised to do their own research and consult a professional before making investment decisions.