Building Mechanical Services Company for Sale

• Outstanding opportunity to acquire a well-established building mechanical services company located in South East England (Thames Valley).

• The company offers a complete package of building mechanical services, pipework installation and prefabrication services including process systems for industry, laboratory gasses, pharmaceutical and HVAC building services.

• Founded in 1986, the company is very well established and has long standing and secure relationships with their clients. This is demonstrated by a 95% rate of repeat business from existing clients.

• The company’s client base comprises of a wide variety of businesses including large government trusts, hospitals and educational institutions. They have a framework agreement in place with a large vehicle manufacturing company, covering all their UK plants, and are the preferred mechanical services provider for this company.

• The company has use of a fabrication workshop and undertakes the manufacture of small steel structures such as fire escapes and platforms, etc.

• The company typically undertakes projects up to £2 million in value, subject to the duration of project, and are competent to operate as Principal Contractor on this scale of project.

• They pride themselves on offering a competitive charging structure without compromising on quality craftsmanship and personal service.

• Forecasted sales revenue for the financial year to July 2017 is £3.7m with a gross profit of £739k.

• The company would be an excellent opportunity for a larger company in the same sector and looking for a stronger base in the South East, or for a company looking to diversify into mechanical services.

Services Provided

• Air conditioning
• Refrigeration
• Ductwork - sheet metal
• Ductwork - plastics
• Kitchen ventilation
• Local exhaust ventilation systems
• Thermal sound engineering
• Water treatment
• Commercial heating and plumbing
• Industrial process pipework
• Prefabricated pipework and plant rooms
• Lloyds Class 1 welding
• Gas fitting
• Underfloor heating

Employees

• There are 3 shareholding directors and 24 employees as follows:
  • 1 Senior Project/Contracts Manager
  • 3 Project/Contract Managers
  • 1 Estimator
  • 1 Industrial Gas Supply Manager and Driver
  • 4 Foremen
  • 14 Operatives

Premises

• 1700 sq. ft. office area
• 1200 sq. ft workshop
• 2900 sq. ft yard area
• Rent of £26,460 per annum (excl VAT), plus £4,700 rates per annum

Reasons for sale

• The two majority shareholders of the business are at retirement age and would like to exit following an agreed handover period.

Financial overview

SOLD