DC Metro Traffic Control & Flagging Contractor, 30+ Year Operation

Full Editorial Writeup

This is a traffic control and flagging services business operating in the DC Metro area since 1991. The company provides the crews, supervisors, and flagging materials that keep construction and roadwork sites safe and compliant, serving contractors and infrastructure clients across the region. With 135 full-time employees organized under experienced supervisors and crew leaders, the business runs a labor-heavy model with a thin fixed cost base: the owner works from home and leases a single storage facility for just $542 per month.

The financials are the headline. On roughly $6.98M of revenue the business throws off $2.33M in cash flow and $2.21M in EBITDA, a 32% to 33% margin that is exceptional for a construction support services firm. The company carries a backlog of contracts and ongoing work in progress, giving the next owner visibility into near-term revenue, and it enjoys a high percentage of repeat clients driven by reputation and a trained workforce rather than one-off bidding.

The asking price of $6.99M represents a 3x multiple on cash flow, which is reasonable for a business with this margin profile and employee base. The seller is retiring and the company is priced as a going concern with $250K of FF&E and $5K of inventory included. The clear gap, and the obvious value-creation lever, is that the owner has never pursued new business aggressively, leaving an open runway in a market full of untapped infrastructure and construction projects.