Roll-up

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May 17, 2022

by a searcher from Yeshiva University in New York, NY, USA

What is the best roll-up strategy to pursue in the South East?

I've been looking into pool cleaning and landscaping (namely home services).

I love out door related businesses and I prefer the South as they are year round.

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commentor profile
Reply by an investor
from University of Oxford in San Francisco, CA, USA
Some thoughts from a deal in DD that I pulled out of:
Maintenance is a solid recurring stream with low churn and easy sales funnel, staffing the core challenge.
Repair margins are higher but much more complex staffing/inventory and seasonal.
Good operational software available in market,
CA requires a trade license. Non-CA states have some good rollup players underway.
Multiples tend to be high as folks can sell routes at about ARR to other folks (https://poolroutesales.com/)
commentor profile
Reply by a searcher
from Duquesne University in Pittsburgh, PA, USA
^redacted‌, This sounds interesting. We're a B2B distributor for high-end landscape contractors building luxury outdoor living projects. Let me know if you would like to chat.
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