Location: Niles, MI
Industry: Septic Pumping & Excavation
Listing ID: FM070518KS
This septic and excavation company is located in Niles, Michigan serves both Southwestern, Michigan and North Eastern Indiana. It has serviced these areas proudly for more than twenty-five years. The company is well positioned for growth. The business is for sale as the owner is looking forward to retirement and he has developed a management style designed to permit the company to nearly operate itself. This company since its founding has never had any type of insurance claim filed against it by customers and/or any past or present employees. In brief, the business has a squeaky-clean record on all fronts.
The company boasts a client list of nearly 3,000 customers; they are best described as repeat septic (pumping) customers who have been loyal and continue to rely on their services as needed. All indications are on average the company provides pumping services to about 1,000 of those on the company’s records. There are no reminder cards sent out as customers randomly call in for a service appointment. An outstanding and carefully updated customer list has been kept by the owners and all the records are available for a buyer’s review.
They not only perform regular pumping services for residential and commercial clients, but it is also in the business of excavating for installations and additional excavating client needs. In their market area, it is the go to company for both excavating, repair and pumping services. Currently, the owner oversees the operations, but no longer drives a truck or performs any pumping services.
Additional services provided by the company, but to a much less extent include the following:
- General excavation
- Building site development and clearing
- Driveway construction and reconstruction
- Bulldozer work available
Total Sales: $398,532
Cash Flow: $221,161
FFE: $157,000 (Included in Price)(Included in Price)
Real Estate: $50,000
Reason For Sale:
Training & Support:
Owner willing to provide necessary transition assistance.
Year Established: 1993
Days & Hours of Operation: Monday - Friday
Employees: 5 Part-Time
Monthly Rent: Negotiable
Type of Location: Pole Barn
Pole barn with plumbing, heat and restrooms, residing 5-acres of land.
The company spends almost zero dollars on advertising due to its outstanding reputation in the rural markets served. This leaves the door wide open for expansion with a new owner interested in growing the business to the next level. In fact, recently two competitors within the same general area closed shop and this year they are certain to gain a significant amount of business for its revenue. The two companies represented the only competitors in the immediate market area.
The equipment is obviously a big part of the operation and it has been very well maintained. To date, the full generating revenue capacity available to this business by fully utilizing the equipment has yet to be realized. A new owner could easily increase revenue by 20% in their first year of operation by adding advertising to the mix and taking advantage of the excellent equipment that is part of the sale of this company.
The owner also believes there is little competition in the portable restroom business in the area served by his company. With a small investment, this is another revenue channel opportunity for growth for this company. The specific market areas for both revenue generators can and would include St. Joseph, Berrien and Cass Counties. In these same geographies, there is a current and growing need for the cleaning of restaurant Grease Traps, as well as the plumbing services that ordinarily accompany the cleaning and attending to drains of all types.
Seller is willing to provide some seller financing to support buyer with SBA financing.