Commercial Framer & Finish Trim Carpentry Company (wood)
Location: Colorado > Jefferson County
Industry: Building and Const. Services > Construction Sub-Contractors
Financials
Gross Revenue: $8,064,788
Cash Flow: $416,796
Seller Financing: None Available
Business Summary
This 22 year old company is located in Colorado. The senior managers each have over twenty five years framing and builder experience in residential & commercial construction. In fact, this company cut its teeth in new home construction, framing more than 1300 homes per year with $23MM dollars in sales and a light gauge steel truss and wall panel division. In 2004 the management team decided to make a strategic shift and focus exclusively on the higher margin commercial marketplace. Today they are the only true commercial framer in the market they serve. Revenues are in the $8MM range with 2007 EBITDA of $450,000 and the company currently enjoys more than $5MM in backlog. They purchase 2-step approximately 4-5 million dollars a year in dimensional lumber, siding and molding. The savings to the Company by switching to a one step model would be approximately 7-10% on material costs which at the low end would generate $280,000 in additional EBITDA. This business can offer a buyer a way to diversify their revenue stream as the commercial marketplace continues to be strong.

Note - residential framers who would like more commercial market share face an uphill battle. Commercial framing takes a much different skill set. They have different insurance requirements, engineering processes and internal process and procedure requirements which make it difficult for the residential framer to have long term success in this market. That said, the businesses compliment each other as the framing crews can be interchangeable over time and the markets usually trend opposite to each other. Today and in the foreseeable future the revenues derived from commercial framing are predicted to be strong. This company can put you in the business for the long term as they have the management expertise to lead a transition and build an integrated company for a buyer.
About the Business
Year Established: 1985
Employees: 15 full time -
Facilities: Owned and held in a Partnership. There is more than sufficient space to grow. The location also has available to them a 1 acre yard that could be used as a staging/storage area.
Market Outlook and Competition: The Commercial marketplace is still strong and the business has good visibility. They currently enjoy a $4MM backlog.
About the Sale
Management Training and Support: The Sellers of this Company are involved in the day to day management of the business. Their preference would be to stay on with the acquiring Company but would also consider a seamless transition of the business to the new owners.
Reason For Selling: Liquidity Event – The majority of the Sellers assets are tied up in the business.

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Listing Tools
BizQuest ID:895708
Seller ID:C901
Business Listed By
Name:Dick Winter
Company:Rocky Mountain Business Associates, Inc.
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