For Sale

Residential Remodeling & Design Company – West Michigan

Business Category: Building, Construction Businesses, Design, Miscellaneous Services, Service Businesses
Location: Michigan

Listing Price:


Revenue: $1,306,802
Cash Flow: $331,482

Real Estate Available: N/A, Home-Based
Reason For Sale: The Owner is seeking to pursue other business interests.
Number of Employees: 3

This Company is an award-winning design-build residential remodeling firm in West Michigan.

Serving affluent homeowners in Kent County, Michigan, the Business has managed numerous projects in every area of residential remodeling. The Company has a three-fold function as a residential interior design firm, cabinetry dealer, and residential building project management and contracting company.

With an average project investment amount of $100,0000, the Company’s core projects focus on interior remodeling of a kitchen and/or bathroom. All customers are located within a 35-mile radius.

The Company offers plenty of resources (including its long-standing relationships with local subcontractors) to help answer customers’ questions, guide in their decision-making process, or provide useful tips in various aspects of remodeling and design. This unique service offering and consultative sales approach differentiates the Company in a competitive marketplace.

With homeowners spending more time than ever at home the desire to beautify their homes, and invest in home improvement and remodeling, continues to drive strong industry demand and is showing no signs of slowing down.

Founded by a husband and wife team in 1980, the Company has built a strong foundation on which the business operates today. They utilize their well-known brand and efficient sales process to reach customers and handle any residential project on time, on budget, and to the customer’s approved plan.

The Company has no designated office space or showroom, and all employees effectively work from home. This allows a buyer to minimize overhead costs, and flexibility to relocate.


Opportunities for Growth

(1) Cross-Sell Products: The Company has started to cross-sell products and services. A new owner could expand multiple complementary segments, such as various exterior additions for residential houses.

(2) Geographic Expansion: The Company has been able to consistently make roughly $1.5M-$2.0M in sales each year with solid seller’s discretionary earnings margin. The Company stands behind strong brand longevity and its extremely efficient sale process. The owner has recently limited the firm to a 35-mile radius around Grand Rapids, MI, despite demand in surrounding areas. A new owner could easily transition into the Business and rapidly grow the Company by expanding into these surrounding areas with existing demand.

(3) Synergistic Acquisition Target: Because the Company subcontracts its labor and construction services out and is best known for their incredibly efficient sales process, a residential remodeler or residential construction firm could acquire the Company and add $1.5M-$2.0M to their top line, as well as a streamlined sales process and sales wing to their current operation. Additionally, because all the Company’s employees work remotely, a new firm would not have to acquire a new office space and could immediately start a smooth transition of operations.

Investment Highlights

(1) Award-Winning Services: The Company is well known for its award-winning services. The Company has substantial experience in remodeling kitchens, bathrooms, foyers, and many other spaces within each home. With over 40 years in the industry, the Business has the expertise, experience, and brand recognition to continue growing into the future.

(2) Long-standing Reputation: The firm is recognized as an industry leader on the national, regional, and local levels. The combination of offering a diversified suite of products and having multiple decades of experience makes the Company a durable Business with an advantage over other residential remodelers.

(3) Three-Fold Business Model: The Company is a design/build residential remodeling firm. The Company is focused on helping customers make their current home the place they want to live for a long time. The Company utilizes a three-fold business model. It functions as a residential interior designer, cabinetry and product retailer, and residential builder.

(4) Incredibly Efficient Sales Process: The Company can compete in a highly fragmented market because of its incredibly efficient sales process. The Company focuses on selling customization, giving every project its own unique characteristics. The pricing for each project is based upon customer’s requests, making the quoting process easily transferable to a new owner.

(5) Light, Lean, and Remote Team Makes for Easy Transition: The Company has four employees, including the owner. All employees work remotely, giving them a strong competitive advantage over other remodeling firms throughout the COVID-19 pandemic. This also will help with the transition process of a new owner into the Business.

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