Niche Supplier of Floor Treatments

The company’s revenue is typically well spread between clients, with the top 5 clients accounting for around 30% of revenues in any one year. The highest revenue client in a particular year will be related to a specific large project and thus will change by year, while there remains an underlying recurring maintenance revenue that is well spread. The business has a trading history of well over 10 years with many of its largest clients.

The business has a level of 2nd tier management but the managing director position would need to be replaced.

The business is strongly cash generative and forecast to deliver an adjusted EBITDA of c £230k on revenues of £900k, slightly ahead of the prior year performance. The guide price for 100% shares of the Company is £750k, on a debt free, cash free basis, with an anticipated net asset value of c £125K.

The vendor is flexible over handover arrangements.

This acquisition opportunity will suit a trade buyer in a complementary business, looking to add a niche service and / or blue chip client base. The business will also suit an individual buyer or small group looking for a stand-alone business with a robust business model and stable performance.