Experience with rollng-up electricians

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December 15, 2022

by a searcher in Stockholm, Sverige

Hello all,

I've have been working with a roll-up of electricians in Scandinavia for a couple of months. met 30+ companies and found about 10 who are interested. 1-5M turnover with 10% profitability. Several of them are fully booked +12 months.

Offer 4x with 50% cash, 30% seller finances and 20% reinvestment in the parent company. Heading in to LOI during holidays.

Has anyone heard of or experienced a similar case? Any US-based best practices to look at?

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Reply by a searcher
in New York, NY, USA
what are the licensing requirements over there? In US, licensing can be municipal (New York state), which makes it challenging if the owner holds the license (usually the case). also the backlog in contract is a double edged sword. given the low margins on construction services, it's easy to misprice contracts, especially during a period of wage and materials inflation.
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Reply by a searcher
in Stockholm, Sverige
License is national and there needs to be only one certified electrician for the whole company.

There have been issues with contracts based on the price increases, but now they have agreed to follow the pricing increase during the project. Good point, need to look into project profitability during DD.

Do you know any success cases over there to look at?
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