TUESDAY | DEAL BREAKDOWN
TL;DR: Three businesses scored this week: a landscaping company at $839K, a three-clinic medical practice at $6.83M, and an HVAC company at $2.5M. Two clear every bar on the model. The third was priced on earnings the seller is still projecting, and it fails its stress test even on those. Each deal links to its full scored breakdown.
Three businesses this week, and every one of them has a number worth a second look. Two clear every bar on the model. The third was priced on a year that hasn't finished yet.
Green means it cleared. Red means it didn't. Click any deal for the full model.
🟩 CLEARS: 3.16x DSCR
Asking Price | $839,000 |
Earnings (SDE) | $405,000 |
Revenue | $1,250,000 |
Multiple | 2.07x |
The Setup. A design-and-install landscaping company in Northern Arizona working the high-end residential market. The sale includes the brand, website, phone number, customer list, referral base and equipment, there's no facility lease to take over, and the owner is moving out of state. Here's the catch: it doesn't offer recurring maintenance, so every dollar of revenue is a new project somebody has to go sell.
→ $276,854 a year in your pocket, and not one customer is on a contract. Full model here
🟩 CLEARS: 2.69x DSCR
Asking Price | $6,830,000 |
Earnings (SDE) | $2,811,000 |
Revenue | $5,621,000 |
Multiple | 2.43x |
The Setup. A three-clinic orthopedic and personal-injury practice in Central Florida, family-owned for 40-plus years, with orthopedic surgeons, a neurosurgeon and pain specialists under one roof. It treats accident victims now and gets paid later, through liens collected when the patient's legal claim settles, and the patients come from long-standing personal-injury attorney referrals. The owner commits to three months after closing.
→ $1,767,807 a year in your pocket, and most patients don't pay until their lawsuit settles. See how it gets paid
Want to score deals like these yourself? The whole Bulletproof method, the same criteria behind every badge in this email, is in a free 28-minute masterclass. |
🟥 FAILS STRESS TEST: 1.15x DSCR
Asking Price | $2,500,000 |
Earnings (SDE) | $550,000 |
Revenue | $3,000,000 |
Multiple | 4.55x |
The Setup. A residential HVAC company in Louisiana, founded in 2018, doing repairs, replacements, maintenance plans and some new construction, with 400 to 500 service agreements a year and no customer over 5% of revenue. The owner is willing to stay two to three years, which is generous. The earnings it's priced on are the seller's projection for 2026.
→ $550,000 in earnings that haven't happened yet, and it still fails the stress test. Stress test here
Spend your time on the HVAC deal. The question it raises belongs on every listing you read: what year is that earnings number from? If the answer is next year, you're paying today for the seller's forecast.
— Mike
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