HVAC-R Contractor with Wholesale Equipment Distribution

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Business Description

HVAC-R sales and service. This business is different than most HVAC services in that it has specialties that give it a competitive edge. The business does replacement HVAC systems for tract homes, but prefers to do new systems for large homes and estates that require multiple systems. The staff includes engineering design to ensure that the system is optimized for the building. The company provides service for commercial refrigeration in restaurants, grocery stores, convenience stors, office buildings and industrial buildings. Another specialty is refrigeration systems for wine cellars. This actually provides repeat business because these systems need to be replaced approximately every 5 years due to the corrosive air from the wine. Profit from these small, specialized systems is about the same as profit from replacing a whole house system in a tract home but takes much less labor. The company services industrial boilers for heating and process steam systems. The last specialty is geothermal heat pump systems, which may be the biggest opportunity for the future. Starting in 2020 all new residential homes in California must use zero net energy - that means that each home must produce as much electricity as it uses. Geothermal heat pumps are the most efficient systems available, so increased use of geothermal systems is anticipated. The company is well-positioned to grow because it has been installing and servicing geothermal systems for over 10 years, and is also a distributor of geothermal heat pump systems, providing a second profit opportunity each time a system is sold. The office employees are non-union and the field personnel are union.

About the Business

Santa Clara County, California
Year Established:
Number of Employees:
Real Estate:
Building Sq. Ft.:
$3,250.00 Per Month
3,250 square foot industrial space in a multi-unit light industrial building
Market Outlook/
Its specialties minimize competition as most HVAC companies focus on replacement of systems in tract homes. This company has several specialties: wine cellars, large homes & estates, commercial refrigeration and geothermal heat pump systems. This company has highly skilled technicians and its own wholesale distribution company. It is a leader in geothermal, which is a growing market. Also, just added boiler service.
Growth & Expansion:
Plenty of opportunity to grow with proactive marketing and excellent reputation for service.
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About the Sale

Reason For Selling:
retiring - moving out of CA
20 hours 2 weeks included
Seller Financing:
10% of purchase price

Listing Info

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Business Listed by

Noel Carpenter

California Equity Advisors

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