10 Yr Old Denver Electrical Co,10/14 SP Lowered to Only 400K,MUST SELL

Seller Financing Available

10-Year-Old Electrical Company comprised of 25% Commercial & 75% Residential

As of 10/17/24 this business in under an LOI until 1/5/25. If you fill out the NDA and we have your information, I will let you know if it falls through. Thank you, Jeff.

The trailing 12 months revenues were 784K with earnings of 207K as of Sept 30th. 2023’s revenues were 807K which were over 50% higher than 2022’s with earnings of 221K which were over 80% higher than 2022. This is important since the seller does almost no advertising and currently has no website. This is priced at a “below market” multiple of the earnings less than 2 times at 400K plus an estimated 15K in inventory.

This company has a long-term employee who has a “Masters Electrician” license who is happy at the company. This is a huge positive for this opportunity. Plus, the Seller is a “master” electrician, who is amenable to the new owner leasing his Master's license post-closing if it becomes necessary(unlikely).

The company provides a full range of electrical services from restoration, mitigation, whole house/remodeling and new wiring, and is 28% service calls. The company is emphasizing maintenance contracts to increase his percentage of recurring work. These contracts are not signed and enforceable but are meant to motivate customers to call them for their future electrical needs.

Growth Opportunities: The company is presently a Google 5 Star Rated company but doesn't have a website. Setting one up will better take advantage of the company's 5 Star Rating. The new owner can further do pay per click, search engine optimization, trusted 3rd party referral sources like Angie and Houz, social media, online advertising, and can pursue high profit margin electric vehicle charging residential installs. The owner also thinks that the new owner should add more high margin service calls including emergency work and the further development of LED retrofits for both wall packs and parking lot lighting. Other possibilities exist in reaching out to real estate agents and insurance agents to get more mitigation and restoration work from insurance companies. The current reality is that there is a shortage of employees for the service industry and if the new owner can find additional high quality, loyal employees to complement the existing staff, set up a website, then the work will find them. Electricians are in high demand in Denver based on the number of commercial and residential developments, remodels, and service calls. This has been taking place for over 20 years and there doesn’t seem to be any reason for it to stop based on the slow but steady increase in both population and wealth.

The owner is a master electrician and spends most of their time in his home office, but also goes in the field for business development and the estimation of new jobs. The current job demands are approximately 35 hours a week. The company uses a QuickBooks based estimating job/customer tracking program. The use of QuickBooks(QB), already populated with a complete list of products and services, has automated many of their bids, material purchases, and work performed for common installs and services. This QB based system can be used to track all job costing & profit, invoicing, job history, etc, as well as for inventory controls. The techs also use the QB mobile app for time tracking, materials & job notes. This platform can be taught to the new owner relatively quickly by the owner or by the readily available (and free with subscription) QB online training videos. The company has 4 employees including 1 journeyman electrician, 3 electricians, and the owner. The Seller believes that all of his employees will stay post closing.

The current owner is amenable to leasing their license for up to 2 years to the new buyer if he/she needs it.