Highly Profitable Civil Engineering and Surveying Firm

It has been a great 30+ year run for the founder of this successful SE Michigan civil engineering and surveying firm, but it is now time to transition the company to new owners and retire. The company provides a wide variety of services, including engineering, surveying, wastewater collection, water distribution, stormwater management, feasibility studies, planning, estimating, and structural forensic inspection services for municipal governments and developers.

Operating out of a leased 2,400 sf facility in a desirable Detroit area community, the business employs 18 well compensated, long time, skilled professional employees, most of whom perform engineering, surveying, and construction related tasks.

The backlog of in-process projects as of August exceeds $2.1 MM, with another 2.0 MM in projects pending approval. The business has an unparalleled commitment to high quality work products and customer. The reputation of the business is so strong that a steady flow of referred new customers occurs without any sales or marketing efforts. Clearly, enhanced sales and marketing could be a driver of new business opportunities.

The business is being offered for $990,000 in an asset sale in which the seller retains cash and A/R while retiring all liabilities. The goodwill of the business along with all inventory, machinery, and equipment (with a six-figure value in-place) is included as part of the $990,000 listing price, reflecting a very favorable 1.5x average multiple of SDE. For the past three years revenues exceeded $2,250,000 each year, with an SDE (seller’s discretionary earnings - the historical, normalized cash flow available to pay an owner-operator and service debt) that has averaged $660,000. For 2024 the six-month annualized revenues are on track to reach $2,300,000 with a projected $700,000 of SDE.