Ave. Cash Flow over $2.7M on $30M in Sales, Includes $5M in Assets

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28 Yr. Old Niche Comm. Construction Biz, Cash flows of $4.2-$6.2 on over $40M
Asking Price:
$9,000,000

Gross Revenue:
$41,000,000
Cash Flow:
$4,500,000
EBITDA:
$4,500,000
Inventory:
$200,000
included in asking price

FF&E:
$4,850,000
included in asking price

Real Estate:
$3,100,000
not included in asking price

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Business Description

28 Yr. Old Niche Construction Company, Cash flows of $4.2-$6.2 on over $40M in sales (2019). See why this company is now a license to “print money” going forward. Very unique business model.

2019 Cash Flow (projected at) $4.3M-$6.2M on sales of over $40M
(First 6 months of 2019 was $2,904,751 on sales of $17,704,751)
2018 was Cash Flow was $3,100,534 on sales of $24,634,209
2017 Cash Flow was $2,598,337 on sales of $17,896,751
2016 Cash Flow was $2,538,297 on sales of $14,531,533

Sales Price and Deal Structure: The sales price is 9,000,000, with $5,000,000 of the sales price paid at closing. The seller will carry up to $4,000,000 paid over 4-5 years from a qualified buyer. Obviously, the seller is confident in the future prospects of the business since he is carrying 40% of the sales price.

Deal Structure: Put Down $5M at closing and get about $4.8M in assets debt free. At closing, the buyer takes over the balance sheet debt free other than payables (AP). The assets and liabilities on the BS change every day of course, but based on a recent calculation the buyer would step into just under $5M in NET assets. This includes over $2.1M in equipment and about $2.8M in net working capital/cash and accounts receivables (AR). The buyer MUST HAVE no less than $1.5M of their OWN funds to put down on this deal for the SBA to do the deal. (Really about $1.2M, but we want a margin.)

Reason for sale: Retirement at age 59, Over $2,000,000 in New Equipment: The seller spent well-over $3,000,000 on new equipment in the past few years.
Our 4-Step “Special Sauce” Process: This is a summary of what you’re about to read in this sales packet. The company has been around for 28 years and has always steadily cash -flowed between $1.5M and $3M. However, the seller is 100% confident that the business will cash flow well-over $4 million in 2019 on sales of $40M and for a variety of reasons, will remain at that level for many years to come. This is because of the new and sophisticated business model they spent years building which is now fully in place. This is not just any commercial building contractor. Companies in our industry operate on 5%-7% net profits, however, we now steadily cash flow well-over 10% and probably closer to 15% on sales of no less than $40M-$50M/yr. because we built a vertically integrated process that no other company that we know of has come close to.

We control the entire process for a client from scoping the project, design/planning, presentation for the bank to justify and assist the client in getting the loan, complete the ground-up work. We can control the entire process which of course allows us to save our client a great deal of money because we are a one-stop shop. We do it all from A-to-Z, whereas other construction companies are only a part of the process. Because of our economies of scaled approach, we are able to get almost 3X’s the profits that other companies get. In fact, we win over 85% of the projects that we spec out. Our industry can be highly competitive and virtually every competitor has to bid for work to earn it. Not us. All of our work is negotiated, in fact, we haven’t had to bid/compete for a job in almost 10 years. YOU MUST SEE THE DETAILED VIDEO in the link above detailing this critical point.

We are a 28-year-old Commercial building contractor located in Colorado Springs that has built over 400 large commercial buildings in 1 county alone. We are so well established that unlike our competitors, we no longer have to “bid” most jobs; the work is just handed to us, we give them a price and in almost all cases we get the contract. Only 10 or 15 years ago we didn’t have the name and established reputation that we have today for solid work that exceeds expectations and is completed before schedule. Today, we have 50 of the strongest workers in the industry and the finest equipment to do any type of project in

About the Business

Location:
Denver, Colorado
Year Established:
1991
Number of Employees:
50
Real Estate:
Owned
Building Sq. Ft.:
20,000
Facilities:
The Owner is Selling the Real Estate: The operation sits on over 3 acres of very functional space, with a 20,000 SF new building, (12,000 SF for admin and office, and 8,000 SF of warehouse/shop/large-bay garages. The location of the office operation and yard are for sale for another $3,000,000-$3,100,000, but the property recently appraised for $3,345,000.
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About the Sale

Seller Financing:
Seller will carry up to $4,000,000 for a qualified buyer.

Listing Info

ID:
1656611
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Business Listed by

Paul Olsen

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License# ER.040043531

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