For sale is an 10-year-old company in Maricopa County that offers Plumbing
Services for Residential and Commercial. The company has long-term contracts
and recurring sales by builders and remodelers, making up roughly 90% of the
revenue. The contracts in place will transfer to the new owner. While one
customer accounts for approximately 22% of the revenue due to the number of
neighborhoods the company currently supplies for, there are more than 30
recurring customers. Order values vary significantly from one dollar to $30K, but
the average order value is between $2K and $4K. Revenue has been steadily
increasing over the past several years and has almost doubled since 2019.
The company’s primary goal is to give its customers a superior product with
excellent customer service. This policy brought additional contracts each year
with builders and remodelers. In 2021 the company secured its first national
account, and a second national builder signed on in 2022. Although revenue has
increased over the years, earnings were affected in 2021 by supply costs and
inflation. Contracts were rebid and updated, but the unstable market still caused
a decline in earnings. The market re-stabilized, making 2022 a great year. The
owners believe all employees will stay after the new owner takes possession,
including three key managers. A second manager is in the process of being hired
to lighten the workload of the owners. Excellent software for marketing purposes
showing where each job was performed, and the average ticket per house call.
2018
