Multi-Location Aging-in-Place Remodeler

$10.2M

Revenue

$864K

SDE

2.0x

Multiple

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Full Editorial Writeup

This is a multi-location residential remodeling business operating across Eastern and Central Pennsylvania and into Maryland, backed by a national franchisor. The core specialty is wet-area modifications and accessible home upgrades that let homeowners age in place, targeting the 45-and-older demographic. With $10.2M in gross revenue and $864k in SDE, this is a real operating company with 33 employees, certified installers, a dedicated sales force, and a full fleet of service vehicles running out of two facilities.

The model sits in a large, fragmented market where the competition is mostly independent trade contractors. The franchise affiliation gives it structural advantages that solo remodelers cannot match: in-home design consultations, predictable and transparent pricing, and faster installation timelines. That combination lets the company compete on trust and process rather than being dragged into a pure price war, which matters when the customer is an older homeowner making a meaningful spend on their home.

At an asking price of $1,750,000 against $864,493 SDE, the deal prices at roughly 2.0x, which is aggressive-to-buyer for a business of this scale and margin profile. Seller financing is offered at $175k down and $262,500 over 120 months at 9%, and the seller's real estate is available for lease at roughly $121,775 annually rather than being bundled into the price. The retirement-driven sale, the demographic tailwind, and the tuck-in growth paths make this worth a hard look for an operator who can step into a sales-and-installation business.

Why we like it

Earnings quality is genuine operating income, not a solo-contractor's paycheck. With $864k SDE on $10.2M revenue, this is an 8.5% owner-earnings margin across 33 employees, which means the cash flow survives the owner leaving as long as the sales and install functions are properly staffed. That scale and headcount is what separates this from the thousands of one-man remodel shops on the market.
The demographic tailwind is structural and boring in the best way. Aging-in-place modifications for the 45-plus homeowner are driven by an aging population and aging housing stock, and that demand does not disappear in a downturn because mobility and safety needs are not discretionary. This is need-based home spend, not a kitchen-envy remodel.
The franchise framework is a real moat against the fragmented field of independent trade contractors. Curated in-home design sessions, predictable pricing, and shorter install timelines let the company win on process and trust rather than lowest bid. In a market full of unreliable one-truck operators, being the organized, branded, on-schedule option is worth a premium.
The deal is structured for a leveraged, low-cash entry. At 2.0x with seller financing of $175k down and the balance over 120 months at 9%, a buyer controls a $10M-revenue business for six figures of equity. The seller keeping the real estate as a lease rather than forcing you to buy it keeps the entry check small and the multiple honest.

How to improve it

Attack the estimating and quoting workflow immediately. The listing flags implementing advanced estimating technology as a growth lever, and faster, more accurate quotes directly compress the sales cycle and protect margin on every job. This is a first-90-days software and process fix that pays for itself in reduced rework and higher close rates.
Expand the mobile showroom program the seller already identified. Bringing the design session to the homeowner is exactly the friction-reducer that converts an older, less mobile customer base, and each added mobile unit is a low-capex way to open a new micro-territory. Track cost-per-lead and close rate per unit before scaling.
Add the untapped sales territory the seller left on the table. Both facilities are described as having capacity to increase operations without immediate expansion, so incremental revenue can flow through largely fixed overhead. Layering a new territory onto existing infrastructure is the fastest path to margin expansion.
Tighten lead generation attribution and reduce franchise-dependency risk. The business benefits from established lead channels, but you need to know exactly which channels drive booked revenue and at what cost. Build a second-source pipeline through local referral partners, occupational therapists, and home-health agencies who advise the exact aging-in-place customer.
Standardize install crews around utilization and gross margin per job. With 31 full-time employees and certified installers, small gains in scheduling density and job-completion time drop straight to SDE. Institute a weekly job-margin review so underperforming crews and unprofitable job types are caught fast.
Build a referral and re-engagement engine off the existing customer base. A homeowner who did a walk-in shower today often needs grab bars, ramps, or a second bathroom in 18 to 36 months, and satisfied older customers refer their peers. A simple CRM cadence and referral incentive turns a one-time job into a recurring revenue relationship.
Pressure-test pricing given the franchise's predictable-pricing model. If installs finish faster than promised and satisfaction is high, there is likely room to raise prices modestly without hurting close rates. A 3 to 5 percent price increase on this revenue base is a direct add to SDE with near-zero cost.

Diligence notes

Verify the $864,493 SDE and the trailing-twelve-months construction through April 30, 2026. Because the LTM window extends into a future date at listing, confirm which months are actuals versus projections, and reconcile SDE against tax returns and bank statements. Insist on a quality-of-earnings review at this price point.
Understand the full franchise economics and transfer terms. Royalty rates, marketing fees, territory rights, renewal terms, and franchisor approval of the buyer all materially affect the true cash flow and your ability to close. Confirm whether the identified growth territories are actually grantable under the franchise agreement or already spoken for.
Scrutinize the lead generation dependency. If most jobs come from franchisor-driven or paid channels, model what happens to volume and CAC if those channels weaken or the franchisor changes its marketing terms. A business that cannot self-source leads is more fragile than the revenue implies.
Confirm the real estate lease terms in detail. The seller's own facility is being leased back at $121,775 per year, so verify lease length, escalators, and whether that rent is at or above market, since an above-market related-party lease is effectively a hidden price increase. Also confirm the third-party lease terms and remaining runway.
Assess the depth of the sales and installation teams and their retention risk. With a full-time owner-operator exiting into retirement, you need to know who actually drives sales and manages crews day to day. Identify key-person dependencies among the 33 employees and lock in retention for the certified installers and top salespeople before closing.
Value and inspect the FF&E and vehicle fleet included in the price. The listing includes $524k of FF&E plus a complete fleet of service vehicles, so confirm the fleet's age, condition, maintenance history, and whether any units are financed or leased. Deferred capex on vehicles can quietly erode the SDE you are paying 2x for.

Source

Originally listed on BizBuySell. View original listing →