Business Description

Amazing pest control company with 80% contract subscription revenue.The business has been pre-approved for SBA financing for $700K. The owners are selling at a discounted price, given they need to move out of state.  

$231K SDE and  70% SDE margin in 2023, with 54%+ margins in each of the past 3 years. $332K in revenue in 2023, with 4.5x increase in revenue from 2021. Their primary offering is a recurring monthly general pest service.

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Key Metrics

• $332K 2023 revenue | 111% CAGR from 2021 to 2023
• $231K 2023 SDE | Minimum 54% profit margins from 2021 to 2024

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Background

This pest control business was founded by an industry expert with over 10 years of experience. 

The company is tech-enabled, with all client information and route optimization run through operating software. There is no real estate necessary to run the business, aside from 25 CF of storage space for 90 days of supplies. All office tasks are currently performed from home by the owners. The licensed applicator will stay through transition and the new owner can temporarily work under the current owner’s operator license. The company focuses on insect and rodent preventive treatments, trapping, and eradication.  

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Key business details

• Home-based and low-overhead: Business was built on a remote-first model, allowing all administrative tasks to be handled from home and eliminating any expensive office costs. 
• Tech-enabled operations: Field service operations are all automated, including office management, route optimization, payment processing, digital sales, marketing, and customer acquisition, making transition to a new owner extremely simple.
• High customer-repeat rate: Almost all business comes from repeat customers, showing the high quality of work, customer satisfaction, and revenue stability. 97% of customers have a subscription. 
• Substantial revenue growth and consistent profit margins: Over the past few years, this business has shown 111% CAGR in revenue and consistent 54-70% SDE margins.
• Commitment to safety and sustainability: This company utilizes the safest and most effective chemical and eco-friendly solutions.

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Growth opportunities

• Expand geographies and customer base: Neighboring regions offer untapped markets, especially in the summer when demand booms. 
• Addition of new service lines: The company currently receives numerous inbound calls for termite work but are not currently licensed in this specialty.
• Strategic Partnerships: Partnering with property management firms, real estate agencies, and insurance companies in order to integrate pest control services into property management and insurance packages.

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