THE Business for Sale Marketplace

Our Client, established as a C-Corp in 1989, is a value-added provider of rental equipment and services to oil and gas drillers and contractors in Texas. Equipment and services include materials, generators, light towers, water pumps, fork lifts, air compressors, along with operating, loading, and transporting the equipment as needed. Customers consist of oil and gas drillers/contractors within a 50 mile radius of the Company. Management has worked diligently to develop long-standing customers and is proud of the many loyal relationships built over the Company’s 18+ year history. In 2007, 70% of sales were generated through leased equipment with operators while the remaining 30% was generated from leased equipment without operators, although the ratio shifts from year to year dependent upon the type of projects the Company accepts. Between 2005 and 2007, a significant increase in rental equipment resulted in substantially increased revenues and market share. Business is currently generated through repeat customers and referrals from satisfied clients, although management has recently decided to increase marketing efforts and is currently developing an aggressive campaign that will be put into place in the coming year.

The Company is run by its single founding owner who sets the direction for the Company and is active in daily management of the business. At some point he would like to retire and pursue personal interests. Operations are handled by a staff comprised of 14 full time and 2 part-time non-union employees. The Company operates out of a single 10,000 square foot warehouse building on 17 acres of land. Both the building and land are expected to provide adequate capacity to accommodate substantial growth.

Some of the company's highlights include:
• Superior name and reputation within the field based on an 18+ year reputation for safety, reliable expertise, and superior customer support.
• Consistent historical sales growth with CAGR of 21.9% between 2005 and 2007.
• Sales growth trend expected to increase at a CAGR of 10.1% between 2008 and 2013.
• 95% rate of repeat business, with many clients having been with the company since its inception.
• Recession-resistant industry with high barriers to entry.