Turnkey Plumbing Company w/ $500K Annual SDE 🪠

Under the Radar Weekly Deals

The #1 Boring Biz Newsletter

👋 Hey folks,

Welcome to issue #8 of Under the Radar!

Before we get started, we’ve added a new section to the newsletter called Tweet of the Week. Check it out below and let us know what you think!

Now, let’s get into it.

This week’s issue features:

  • 🪵 Millwork and cabinetry biz w/ $4.4M annual revenue

  • 🪠 Turnkey plumbing company w/ $500K annual SDE

  • 👨🏽‍🔧 69-year-old garage door installation & maintenance biz

Hot Deals 🔥

Analyses of the best deals we found across top marketplaces and brokerages.

#1. Millwork and cabinetry biz w/ $4.4M annual revenue 

🏷️ Asking Price: $2,995,000

📍 Location: Bethel, CT

Overview: Started in 2016, this well-established millwork and cabinetry business is a market leader in designing, manufacturing, and installing custom, high-end cabinets and woodwork. With a 9,000 SQFT facility that includes manufacturing operations and showrooms, the business caters to both residential and commercial clients in the New York and Connecticut area, boasting a strong reputation and preferred provider status. Employing 26 people and experiencing consistent growth due to its high-quality output and strong brand, the business is positioned for further expansion.

Key Highlights

  • ~$4.4M annual revenue

  • ~$965K annual SDE

  • $707K FF&E included

  • $6,500 rent/month

  • Strong brand and reputation

  • Protected territory (franchise)

Growth Avenues 🚀

  • Streamlining production and installation processes using lean management techniques can reduce costs and improve turnaround times, enhancing customer satisfaction and allowing the business to take on more projects without sacrificing quality

Potential Risks 🚩

  • Being part of a franchise system can limit operational flexibility. The business may face restrictions on expanding product lines, changing suppliers, or altering marketing strategies, which could hinder adaptation to local market needs or innovation

Questions❓

  • Are all 26 employees full-time?

  • What does the breakdown of franchise fees look like, and what are the terms included in the agreement?

  • What’s the current revenue breakdown between residential and commercial clients?

#2. Turnkey plumbing company w/ $500K annual SDE

🏷️ Asking Price: $2,500,000

📍 Location: South Carolina

Overview: Founded in 2009, this well-established plumbing company is a profitable turnkey operation specializing in residential plumbing and septic services. The sale includes an 8,000 SQFT facility that houses 6,000 square feet of warehouse and 2,000 square feet of office space, available for lease or purchase. With a strong market presence backed by over 500 near 5-star reviews on social media, the business boasts 15 years of increasing revenue and a loyal customer base. The current owners, ready to transition due to reaching their growth comfort level, offer training and support, making this a promising opportunity for potential expansion with more focused advertising efforts.

Key Highlights

  • ~$2.3M annual revenue

  • ~$500K annual SDE

  • $800K FF&E included

  • Owner willing to hold license as needed

  • 7 FTEs

  • 500 near 5-star reviews

Growth Avenues 🚀

  • Implementing targeted digital marketing campaigns using platforms like Google Ads and Facebook Ads can help the biz reach a broader audience

Potential Risks 🚩

  • Given the company’s strong reliance on social media reviews, a few negative reviews or a mishandled customer complaint post-sale could disproportionately impact its reputation and customer trust

Questions❓

  • Does the company also have a commercial plumbing license?

  • What percentage of revenue is repeat customers vs new business?

  • Is the owner open to seller financing?

  • How involved is the current owner on a daily basis?

#3. 69-year-old garage door installation & maintenance biz

🏷️ Asking Price: $1,800,000

📍 Location: Massachusetts

Overview: This profitable 69-year-old family-owned garage door company in Massachusetts, serving also Northern Rhode Island, specializes in residential installations and services, making up 90% of its revenue, with the remainder from commercial contracts. The business offers a balanced mix of service/repairs and new installations, including work for home builders, along with 24/7 emergency repairs. Operated by four full-time staff and ready for a new owner/operator, the company has competitive pricing and is pre-approved for an SBA loan for a qualified buyer.

Key Highlights

  • ~$954K annual revenue

  • ~$414K annual income

  • SBA pre-approved

  • 4 FTEs

  • Works with 8-10 home builders

Growth Avenues 🚀

  • While the company already works with 8-10 home builders, expanding these partnerships or forging new ones with larger development firms could secure larger projects and higher revenue streams

  • Strengthening the company’s online presence through targeted digital marketing strategies, such as SEO, PPC advertising, and social media campaigns, could attract more residential and commercial clients

Potential Risks 🚩

  • As home automation and smart technology continue to evolve, the company might need to invest in new technologies and training to meet customer expectations for high-tech solutions. Failing to keep up with these trends could result in losing out to more technologically advanced competitors

Questions❓

  • Why did the company decide to shift more towards the residential market?

  • Does the company have long-term agreements with the 8-10 home builders?

  • Have profits recovered since 2021 when 2 new employees were brought on?

  • Why has the owner decided to sell?

Radar Picks 📡

Bit-sized reads featuring insights and fresh perspectives

Tweet of the Week 🐦

This week's Tweet of the Week comes from Clint Fiore. If you don’t follow him already, you should consider it! He drops value bombs like this weekly!

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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.