Business Category: Electric, Gas, Water, Sanitary Services, Miscellaneous Repair Services, Other Business Services, Other Personal Services, and Special Trades
City/Region: Iosco County
Listing Price: $350,000
Cash Flow: $107,850
Established in Eastern Michigan, this HVAC and plumbing Company has been serving its small but loyal Lake Huron community for over four decades. The Company employs three full-time service techs who have the licensure and experience to tackle a variety of tasks, including:
- Plumbing installation and repair (all forms of piping and fixtures)
- Sewer and drain cleaning
- Installation and repair of heating equipment, including sheet metal and ductwork
- Boiler system installation, repair and mandatory CSD-1 reports
- Air conditioning installation and repair
- Backflow preventor installation, repair and mandatory inspection reports
The Company has experienced steady and solid financial performance for many years by consistently delivering quality service to customers at a reasonable price.
The owner retired over a decade ago and now the Manager is looking forward to fully retiring from the business, but is willing to assist with the transition to the new owner.
Opportunities For Growth:
(1) Sales and Marketing Efforts: This Company generates virtually all of its sales from past clients and word-of-mouth business. The Company does not have a web presence, a dedicated salesperson, and only invests minimally in any marketing (yellow pages and truck signage.) Despite this, the Company has consistently operated profitably and experienced steady growth.
(2) Additional Staff: The Company is unable to accept all the calls it receives requesting service. A new owner with relevant skills or a strategy for hiring/training new technicians could quickly grow the business.
(1) Low Risk/High Cash Flow Business – For many years, this Company has provided its owners with an optimal balance of risk and reward (cash flow). Spending on heating and plumbing is usually not discretionary and tends to be largely independent of the economic conditions of the local and national economy. By focusing on good customer service and retaining a good team, the owner of this Company will do well.
(2) Distinct from the Competition – The Company sets itself apart from the competition in a number of ways:
– Quality products, including Trane furnaces, Kohler plumbing products, Gould pump systems, Honeywell, Weil McLain boilers, etc.
– Reputation for quality 24/7 service, with 3 highly qualified service technicians with an average tenure of 18 years
– A well-stocked warehouse to reduce wait time for repairs
Real Estate Value: $50,000
Real Estate Available: For Sale
Reason For Sale: Retirement
Number of Employees: 4