Established Residential HVAC Contractor, 28-Year Southern California Operator

Full Editorial Writeup

This is a residential HVAC contractor that has been operating for 28-plus years across some of Southern California's wealthiest zip codes, spanning Santa Barbara, Ventura and Los Angeles counties. The business runs on a fleet of 13-plus service vehicles staffed by EPA-certified technicians, and it generates roughly $3.0M in trailing revenue with about $520K in seller's discretionary earnings on a three-year average. That is a clean, durable ~17% SDE margin for a service business in a high-cost labor market.

The deal is structured as a stock sale so the buyer inherits the existing C-20 contractor license rather than having to re-qualify, which removes a real friction point for a first-time acquirer and protects continuity of operations on day one. The affluent geography matters here: homeowners in these counties replace and upgrade systems sooner, spend more per ticket, and are less likely to defer essential repairs during a downturn. Climate and aging housing stock keep installation and service demand steady.

The broker frames this as a strong fit for an SBA-financed first-time buyer or a bolt-on for an existing home services platform, and both angles are legitimate. At this revenue scale with an owner willing to support the transition, it sits in the sweet spot for a search fund or an operator looking to buy a cash-flowing, license-protected route-density business in a premium market.