Flooring Contractor Servicing Various Commercial Industries
With over 25 years in the industry, this is one of the northern GTA’s premier flooring contractors. The business supplies and installs tiles, hardwood and carpets for primarily commercial and some retail clients. Due to its excellent service history, the business has developed a loyal client base in the construction, property management and insurance industries. The business has a large retail showroom where clients can choose from a selection of hundreds of products. The location is central to its operations and has a large warehouse which allows the business to service large time-sensitive projects.
The business has agile long-term relationships with multiple suppliers with no major dependence on any specific one. The business has maintained consistent revenue and margins due to its steady relationships with both clients and suppliers. Moreover, the company has an experienced team, with most employees having over ten years tenure. Consequently, the business has moderate owner dependency and can function independently with one manager. Sales are steady throughout the year with low seasonality. With an average 3-year EBITDA margin of 11%, the business is well-positioned in its market niche.
The non-residential construction industry in Canada has witnessed improved demand due to public infrastructure spending and a low interest rate environment. According to Statistics Canada, new building permits and construction investment has been on an upward trend in the second quarter of 2019.
This opportunity is ideal for a private buyer seeking to acquire a business with an established client base and an experienced team. Alternatively, the business is a good target for a related or complementary business seeking to diversify its scope of operation.
The asking price includes $440,000 of working capital in a Share Transaction.