Plumbing contractor
120-Year Plumbing Contractor — $450K Asking Price
Published June 1, 2026
Illustrative score 5/10 — not a credit or investment rating
Deal snapshot
Asking price
$450,000
Revenue
$340,000
Cash flow / SDE
$167,000
Multiple
2.69×
Location
—
Real estate
—
Verdict
This appears to be a long-running plumbing company with a $450,000 asking price, $340,000 in revenue, and $167,000 of stated SDE. The 2.7x SDE multiple may look reasonable on paper, but the listing is sparse and the nearly 49% SDE margin should be verified carefully.…
Deal at a glance
Top strength
Long operating history may indicate local goodwill and repeat customer relationships
Biggest risk
Listing lacks basic diligence information needed to assess transferability
Next step
Request three years of business tax returns and interim P&L?
Best suited for
Good fit
- First-time acquisition entrepreneur
- Owner-operator
- SBA-financed buyer
- Buyer with industry experience
Poor fit
- Passive investor
- Hands-off ownership model
Key risk flags
Location is not disclosed in the provided listing details
Stated SDE is nearly 49% of revenue, which may be unusually high for a small service contractor
No EBITDA, employee count, licensing details, equipment list, or customer concentration information is provided
A 120-year operating history with only $340,000 in revenue may indicate a very small or owner-dependent operation
Headline claims low multiple and big upside, but supporting detail is not provided
Green flags and red flags
Green flags
- 1
Long operating history may indicate local goodwill and repeat customer relationships
- 2
Stated SDE of $167,000 could be attractive for an owner-operator if verified
- 3
Asking price appears to be about 2.7x stated SDE based on listing figures
- 4
Plumbing is an essential service category with potential recurring demand
Red flags
- 1
Listing lacks basic diligence information needed to assess transferability
- 2
High stated cash flow margin should be reconciled to tax returns and add-backs
- 3
Unknown license holder and technician structure could create continuity risk
- 4
No detail is provided on service mix, growth trend, working capital, or seller financing
- 5
Small revenue base may limit scalability and debt service capacity
Questions to ask seller
- 1)
Financials
Can you provide three years of business tax returns and interim P&L?
- 2)
Financials
What percentage of revenue comes from the top five customers?
- 3)
Operations
How many hours per week does the owner work, and which tasks are owner-only?
- 4)
Diligence
Are key employees expected to stay after closing, and on what terms?
- 5)
Real estate
What equipment, vehicles, inventory, or real estate is included in the asking price?
- 6)
Diligence
What working capital should a buyer plan for at close?
Industry-specific diligence
License holder of record and transferability
Technician retention and backlog of signed work
Warranty exposure and open claims
Insurance loss runs and GL limits
Customer concentration and recurring vs one-off jobs
Owner involvement in estimating and field supervision
Working capital needs for payroll and materials float
Source: BizBuySell
Analysis date: June 1, 2026
Illustrative analysis only — verify with seller, broker, lender, attorney, and CPA. Not an offer to buy or sell any business.
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