- Under the Radar
- Posts
- Residential Roofing Company with $2M Revenue 🏠
Residential Roofing Company with $2M Revenue 🏠
Under the Radar Weekly Deals
The #1 Boring Biz Newsletter
👋 Hey folks,
Welcome to issue #4 of Under the Radar!
This week’s issue features:
💨 HVAC company with $1.1M annual cash flow
🚗 Auto repair shop with 38 years of operating history
🏠 Residential roofing company with $2M revenue
Let’s get into it.
Hot Deals 🔥
Analyses of the top deals we found across various marketplaces.
#1. HVAC company with $1.1M annual cash flow
🏷️ Asking Price: $2,900,000
📍 Location: Baltimore, MD
Overview: Established in 2015 outside Baltimore County, Maryland, this HVAC service provider specializes in heating, cooling, and ventilation for residential and commercial customers. Prioritizing customer satisfaction, the company has grown significantly through referrals, evolving from a side project to a major industry player.
Key Highlights ✅
$2.3M revenue
$1.1M annual cash flow
90% of new business comes from referrals
Growth Avenues 🚀
Secure more contracts with apartment buildings and condo projects to increase presence in the commercial sector
Leverage social media and digital marketing to increase visibility and attract customers beyond the traditional word-of-mouth approach
Potential Risks 🚩
Heavy reliance on word-of-mouth for new business could become a vulnerability if the company's service quality drops or if competition increases
Questions❓
What growing pains is the company currently facing?
How many FTEs does the business have? Are they expected to stay post-sale?
Is there a management team in place?
#2. Auto repair shop with 38 years of operating history
🏷️ Asking Price: $750,000
📍 Location: Middlesex County, MA
Overview: Established in 1986 in Middlesex County, MA, this profitable auto repair shop enjoys a solid reputation for quality and honesty. Operating from a 3,100 sq. ft. facility, it features four service bays with lifts, ample office space, and over 60 parking spots, conveniently located near Route 95. With the current owner looking to retire, this business presents a valuable opportunity for a qualified buyer, potentially supported by SBA financing with a low down payment.
Key Highlights ✅
~$1.87M annual revenue
$386K annual cash flow
SBA financing for qualified buyers
Fantastic reputation
Growth Avenues 🚀
Leveraging the unused used car license for up to 15 cars, the business can diversify its revenue streams and tap into the lucrative used car market. This move could attract a new customer base while maximizing the use of its existing resources and location advantages
Opening the shop on Saturdays can cater to customers who are unavailable during the weekdays, significantly increasing the shop's accessibility and potentially boosting sales and profits by accommodating more service appointments and walk-in clients
Potential Risks 🚩
Entering the used car market requires careful inventory management and understanding of regulatory requirements, with the risk of initial investments not yielding quick returns
Expanding hours to include Saturdays may not immediately attract enough customers to cover additional operational costs, such as extra staffing and utilities
Questions❓
How many FTEs does the shop have?
What’s the current rent? When does the lease end?
How much volume does the shop do monthly?
#3. Residental roofing company with $2M revenue
🏷️ Asking Price: $1,500,000
📍 Location: Roanoke City County, VA
Overview: This residential roofing company in Roanoke, with $2M in revenue within five years, offers a robust blend of quality service and rapid growth. Its success stems from expertise in re-roofs and replacements, supported by a dynamic sales force and innovative marketing, including sales AI. The company has a diverse product range, from traditional to solar shingles, positioning it for further expansion. Designed for minimal oversight, it's an excellent opportunity for either an absentee owner or an active buyer looking to capitalize on its established market presence and potential for growth.
Key Highlights ✅
$1.91M annual revenue
$313K annual cash flow
Inventory included in asking price
Solid market position
Allows for absentee owner
Growth Avenues 🚀
Capitalize on the growing eco-friendly trend by further developing and marketing the new solar shingle product line, potentially opening new markets and customer segments interested in sustainable roofing solutions
Invest in advancing online sales platforms and integrating more sophisticated sales AI technologies to improve customer engagement, streamline the sales process, and increase conversion rates beyond current levels
Potential Risks 🚩
The roofing industry can be sensitive to economic downturns, which may reduce consumer spending on non-essential home improvements, including roofing upgrades or installations
Questions❓
Where are the majority of new customers coming from currently? Referrals? Social advertising?
How many FTEs does the company have? Are they expected to stay post-sale?
Radar Picks 📡
Bit-sized reads featuring insights and fresh perspectives
Rate Today’s Issue
How did we do today? |
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.