For sale is a 43-year-old Northern California-based instrumentation and electrical contracting business specializing in process control automation for municipal, public works, industrial and co-generation plants throughout California. The company also acts as a Managed Service Provider, overseeing a company’s network system completely or in part (which can range from monitoring an IT network to providing full-service hardware, software, monitoring and design). Additionally, they are a licensed reseller of control engineering products and they only work with the top product suppliers in the industry.
The business currently has monthly recurring revenue for maintenance contracts that is solidified through a yearly contract or purchase order (accounting for 12-15% of revenue) and also completes jobs for one specific client that represent around 30% of revenue. They have backlog of projects equaling over $3.7M for 2022.
The company operates on an “A” engineering design build license and a C-10 electrical general license. A buyer will need to have either or both to run the company legally, though the owner is willing to lend his license to the business for up to a year during the transition process. The 76-year-old seller is looking to retire; his son has been with the business 23 years and acts as the second-in-command in his role as Operations Manager. He would be open to staying on and absorbing his father’s duties.
It should be noted that a potential buyer with C-level executive and operational skills could learn the intricacies of this business without having direct experience in the industry. Additionally, the business is SBA pre-approved for a qualified buyer.