For Sale and Seller Financing

Profitable Residential Remodeling Company

Business Category: Building, Construction Businesses, Restoration, Service Businesses
Location: Michigan


Revenue: $1,709,539
Cash Flow: $395,532

Real Estate Available: For Sale
Reason For Sale: Retirement
Number of Employees: 5

Founded in 1996, the company offers a wide range of residential remodeling services throughout Southeast Michigan.

From small to large additions, whole house remodels, kitchens, baths, basements, porches, decks, and even historic preservation—this company does it all, and does it well.

The company’s constant top objective is and has always been quality—whether it comes to employees, subcontractors, suppliers, or products. They stand by their work with a three-year warranty, and will not install a product they know will not last for years to come.

With a vast portfolio of completed projects and no shortage of glowing customer testimonials, the company offers improvements that optimize structure and functionality in addition to simply aesthetic upgrades.

The company is certified by the EPA as a Lead-Safe Certified Firm, with several of the staff having completed the Certified Renovator training course.

The company maintains strong, long-term relationships with subcontractors. The company works with 38 separate subcontractors; 13 of which have worked with the company for at least 15 years.

Opportunities for Growth

(1) Hire Additional Staff: The company has turned down work if they do not have adequate staff to produce work in line with their high standards. The owner suggests that hiring a Superintendent and two Salespeople would help grow revenue and allow a new owner to focus their time on higher-level strategy and business decisions.

(2) Implement Technology and Software: While the current owner has not felt an impetus to adopt new technology, a new owner could benefit from implementing project management software platforms built for the construction and remodeling industries, such as Builder Trend and Houzz Pro.

(3) Expand Marketing Efforts: The company could benefit from updated marketing methods. Expanding into social media and running aggressive ad campaigns could drive additional business to the company.

Investment Highlights

(1) Local, Established Business with Large-Scale Capabilities: The company operates in a community-oriented area, where residents prefer to spend locally. Most competitors are small one- or two-person specialized local crews, or large, less specialized, and non-local companies. This company offers the best of both worlds: locally-based, high-quality work, as well as a wide range of services. Few competitors operate in this space.

(2) Consistent Repeat Customers: The company consistently drives 30% of revenue from repeat customers. Satisfied customers are likely to seek out the company’s services for additional interior or exterior remodeling.

(3) Sophisticated Marketing Efforts: The company orchestrates a sophisticated and effective marketing strategy for a business in the remodeling industry. The company uses a combined effort of events, Internet marketing, print, radio, referrals, signs, trucks, television, etc., to drive additional revenue for the business.

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