• Established Leadership and Reputation in Residential & Commercial Sector: Established over 20 years ago, this business is a leading and well-established player in the Plumbing & HVAC sector in Southern Ontario. Serving both residential (80%) and commercial clients (20%),
its long-standing reputation highlights its reliability and success in the industry.
• Robust Revenue Model: The company has a basket of offerings which includes Plumbing (70%); HVAC & other maintenance services (30%). The company boasts a highly attractive revenue model, with 90% of its plumbing income derived from service-based work. This consistent revenue stream is bolstered by a diverse and expansive customer base, ensuring stability and minimized risk.
• Skilled Workforce and Streamlined Operation: Business is driven by a dedicated, loyal, skilled, and professional team, crucial in optimizing operations and enhancing profitability. The company employs 45 dedicated staff members (including the owner) out of which 32 are unionized technical professionals – licensed plumbers, gas fitters, HVAC journeymen and 13 are non-union administrative professionals led by a General Manager overseeing all operations. The streamlined operations and structured team provide a solid foundation for continued success.
• Smooth Transition with General Manager: The business is currently owned by an absentee owner who is preparing for retirement. The transition will be seamless, as the owner’s minimal responsibilities—such as quoting residential jobs and handling customer service—are efficiently managed by the existing General Manager and a capable team. With employees committed to their roles, operational continuity is well-supported.
• Solid Financial Performance: The company has demonstrated steady revenue performance with figures of $7.5M and $7.7M in FY 2020 and FY 2021, respectively. Although there was a decline to $6.3M and $6.4M in FY 2022 and FY 2023, this was offset by significant profitability improvements due to operational efficiencies and cost management. The company has since intensified its marketing efforts and launched a digital push, with a strong focus on expanding revenue from the commercial sector. As a result, revenues grew by 10% in 2024 at $7.1M, and with a robust pipeline of commercial contracts, this upward trend is expected to continue into 2025. The average SDE for last 3 years stands at $335k.
• Potential for Massive Growth and enhance profitability: FY 2024 revenue grew 10% to $7.1M, driven by aggressive marketing, a digital push, and expansion into the commercial sector. The company had no commercial contracts in 2023 but grew into commercial sector in 2024 with revenue of $1.37M and in 2025, it has a pipeline of $3.67M, positioning it for continued growth. Since unionizing in 2020, it has gained access to the commercial market, fueling expansion. With a strong marketing strategy, revenue is projected to reach $10M in 2025. Operational streamlining has improved profitability, with further optimization opportunities ahead.
• Diversified Customer Base: Business customer base is highly diversified, with over 5,000 unique clients annually. No single client dominates the revenue stream, with the top five customers accounting for only approximately 13% of total revenue on average over the past four years. This broad customer base contributes to revenue stability and growth potential.
• Valuable Assets Included: The business price encompasses approximately $473K of Assets comprising of Vehicles of approximately $401K and Equipment valued at approximately $72K.
• Expansion Opportunities: The business is well-poised for substantial growth through geographic expansion and enhanced marketing strategies. The potential for building a strong brand presence, especially through digital marketing. As demonstrated in FY2024, there is a huge potential for expansion into commercial sector supported by a unionized technical staff. An addition of a dedicated business development manager to focus on the commercial sector would further provide opportunities for scaling operations. Additionally, the company is expanding into electrical solutions, potentially opening new revenue streams.
