Commercial Waterproofing Contractor Sold for $1,200,000

A commercial waterproofing and building envelope contractor in King County, Washington sold for $1,200,000. The business served commercial building owners and property managers in its regional market across three service lines: building envelope repair and maintenance, waterproofing applications, and exterior contracting work that included roofing repair. It had been operating for more than 20 years at the time of the sale. Revenue was $1,534,853 in 2022, $1,122,066 in 2023 and $2,245,306 in 2024. Gross profit across the same three years was $659,561, $755,776 and $627,030. Recast seller’s discretionary earnings were $356,720 in 2022, $470,884 in 2023 and $322,575 in 2024, after add-backs of $101,945, $130,207 and $125,403 respectively. The headline earnings figure presented to buyers was a three-year recast weighted average SDE of $373,896, which sits above the most recent year’s recast SDE of $322,575. The memorandum also carried a 2025 revenue projection of approximately $2,250,164; that was a projection, and no 2025 actuals were stated.72 times the 2024 recast SDE. The work ran through the owner, who was full time, and two full-time journeymen-level employees who had each been with the company for several years. Additional field staff were hired for larger projects and subcontractors were brought in for specialized work. No total headcount was stated. The company operated from leased warehouse and office space; rent, square footage and remaining term were not stated. The seller offered six to twelve months of transition support, expected the existing staff to stay on after closing, and agreed to a non-compete in the region and industry. The growth case put to buyers was expansion into full roof replacement alongside the existing repair work, more marketing to drive lead generation, and extending service into neighboring markets. The memorandum did not state EBITDA, net income, a founding year, a reason for selling, customer concentration, backlog, lease terms, financing terms, or an asset and equipment schedule. The transaction closed at $1,200,000. The transaction has closed.