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EXECUTIVE SUMMARY
PBG Reference No.: S552

EXCAVATING CONTRACTOR

We are pleased to present this business opportunity for your review. Premier Business Group, Ltd. is one of the leading business brokerage firms in the Midwest. We specialize in representing manufacturing, distribution and service companies in the divestiture process. The Seller pays our fees; there is no monetary obligation to prospective purchasers. Premiers' expertise includes assisting in structuring the transaction and financing. We encourage you to make an appointment with the broker listed on this offering to discuss your needs, to obtain further information regarding the company you are inquiring about, and to receive information on other companies that may be of interest.

This company provides a variety of services related to excavation work, while able to function like a general contractor its full line capabilities include construction management and site development while specializing in excavation and underground utility installations.

The company performs both earthwork and sewer installations while their competitors only focus on one or the other. This factor provides the company with an extra competitive edge.

Serving primarily commercial and industrial clients the company has also established a strong presence in the public sector working for municipalities and school districts.

Building on early aggressive growth, the owner has been satisfied to focus on exiting customers for a number of years. There have been no marketing efforts, and the field staff has been kept fairly small. Nevertheless, a solid reputation for expertise, dependability, full service and fairness has insured a steady stream of repeat business, new client referrals, and continued profitability.

Since the company is a certified minority business, a portion of their work is obtained at a higher than average profit margin. The company has experienced explosive growth over the past 3 years with projected sales for 2006 to top $4 million.

FINANCIAL HIGHLIGHTS

  2007 2006 2005 2004
SALES $2,860,541 $3,441,764 $2,248,064 $1,304,157
EBITDAS*
(Adjusted Net)
$   411,837 $   428,718 $   287,339 $   306,816

* Earnings before interest, taxes, depreciation and owners salary.

DEAL STRUCTURE

Open to Offer

Net Working Capital

Included in the purchase price will be net working capital. (Net Working Capital will be defined as Accounts Receivable, less Accounts Payable).

All furniture, fixtures and equipment, computer hardware, software and supplies will be included in the sale. The seller's personal items and vehicles will be excluded. The assets of the business are to be sold free and clear of all claims, debts, liens, or other liabilities, with the buyer receiving a good and marketable title.

Assets Included:
Accounts Receivable $547,832
Equipment $286,200
Liabilities Included:
Accounts Payable $347,832

At closing, should the net working capital differ from the agreed upon amount, there will be a corresponding adjustment in the purchase price.

INFORMATION SUMMARY

  • Location: Chicago West Suburb
  • Established: 1998
  • Ownership: S Corp
  • Facilities: 600 Sq. Ft. Front office, 12,000 Sq. Ft. off site yard
  • Rent: $912 Monthly - Office/Yard
  • Hours of operation: Monday - Friday 6:00am - 5:30pm
  • Employees: 8 (union)
  • Reason for sale: Retirement
  • Training: As needed for smooth transition (flexible

MARKETING AGENT

Premier Business Group, Ltd.
1130 Lake Cook Road, Suite 210,
Buffalo Grove, IL 60089
847/465-9000

This information is provided for discussion purposes only. No representation is made by Broker as to the accuracy of the information provided or any other information supplied. Broker encourages the Prospect to thoroughly review and independently verify to his own satisfaction that the information provided is substantially representative of the business activity.

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Premier Business Group represents manufacturing, distribution, and service companies with annual revenues in the $1-30 million range whose businesses are for sale.

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