Acquire a highly reputable, high-margin California Class A general engineering contractor with nearly four decades of market leadership in the San Francisco Bay Area. The company specializes in non-discretionary, technically demanding earth retention, slope stabilization, specialty limited-access drilling, and structural foundation remediation.
Operating with significant barriers to entry, the firm commands strong pricing power and gross margins historically exceeding 50%–60% due to comprehensive self-performance capabilities. Day-to-day estimating, bidding, and field operations are entirely managed by an experienced General Manager and long-tenured key staff, while the founder operates part-time in an advisory capacity.
Key Investment Highlights:
• Proven Financial Performance: $5.3M 5-year average revenue with $1.07M average Adjusted EBITDA (20.2% margin).
• Debt-Free Production Fleet Included: ~$1.94M gross cost production fleet transferring free and clear—including CAT excavators with drill motors, portable limited-access hydraulic drill rigs, concrete/grout pumps, dump/service trucks, and an on-site batch plant.
• Entrenched Referral Engine: Consistent direct inbound referrals from leading geotechnical and structural engineering firms built over three decades.
• Non-Discretionary Physical Demand: Safety-critical remediation driven by steep Northern California terrain, winter storm events, and landslide risk—completely insulated from discretionary building cycles.
• Turnkey Operations & License Continuity: Autonomous operating team in place. Retiring founder is prepared to provide comprehensive transition support and serve as Responsible Managing Officer (RMO) on licenses (Class A, B, C-8) during buyer onboarding.
• Broad Client Base: Zero customer concentration; no single general contractor or private client accounts for >10% of revenue.