Oilfield-service: FY '24 Rev$13M, EBITDA=$2M,FCF $2M,SDE $650K
Business Description
***Currently bidding millions in NEW P&A work in CO, MT, WY
Asking price based on FY 2024 trailing 12-month financials (P&Ls and Bal sheets). Price to be adjusted based on the trailing 12-month performance as of the month before the close month.
95% of revenue is T&M
A great sports team, like a great business, wins year in and year out by anticipating and adjusting to whatever the competition, E&P customers, or the O&G market throws at them.
Over their 20+year history of service w 45+ MSAs, this business has grown and made money every year. They have done this while building a solid reputation as the go-to team for exceptional execution at a fair price, in the ever-changing regional, North-American, and global O&G markets.
Key employees have developed trust-based personal relationships with everyone from the key decision makers to the on-site folks. They have 35+ long-standing MSAs with all customers. As a result, they get the “inside track” to projects being considered or given the green light. They are also called on to take over projects that are in trouble. They do no advertising, and yet sales and profits continue to grow at a controlled pace.
History & team:
The founder and his wife built the business organically (little to no debt) from a single truck and a rented backhoe, to the key equipment, dedicated facilities, and most importantly, a team of mostly full-time, and some part-time staff. Together they offer the right mix of skills, attention to detail and a get ’er done attitude. As a result, the owner actually takes time off throughout the year and the business does not miss a beat. The entire team prides themselves on being on time and on budget, with a finished product that is second to none.
Current markets: Oil and gas exploration and production (E & P) companies looking to build, operate / optimize, maintain, and decommission well sites. No down-hole services are offered yet. 25% of revenue is equip. rental
Services offered:
Bidding new P&A work in CO, MT, WY. Many of the new O&G regulations have led to more service offerings and an INCREASE in demand for services at EXISTING well sites. They are actually turning work away.
From cutting in roads, to P&A of well sites ( and everything in between, they offer:
-Well-site construction
-Equipment rental: 25% of rev
-Environmental and safety-compliance services
-Roustabout services
-On-site and off-site custom fabrication
-Well-site telemetry hardware installation and retrofits
-Well-site supervision
-Oil and gas contract pumping
-Oil and gas well pressure testing
-24/7 emergency oilfield service
Compelling-competitive advantages:
-Founder started out as an oilfield worker, and has over two decades of experience.
-Master Service Agreements with 38+ customers
-Long-term customer relationships with regionals to Fortune 500 E&P companies
-Little to no money tied up in on-hand inventory, as most materials and supplies provided by the customers on a pre-paid basis.
-95% of their work is on a T&M basis. Very little competitive bidding.
-Revenue: 45% new construction, 30% ongoing well-site services, 25% equipment rental
-Beyond their core year-round employees, they have a bench of key part-time talent.
-Excellent safety, on-time & on-budget performance
Asking price based on FY 2024 trailing 12-month financials (P&Ls and Bal sheets). Price to be adjusted based on the trailing 12-month performance as of the month before the close month.
95% of revenue is T&M
A great sports team, like a great business, wins year in and year out by anticipating and adjusting to whatever the competition, E&P customers, or the O&G market throws at them.
Over their 20+year history of service w 45+ MSAs, this business has grown and made money every year. They have done this while building a solid reputation as the go-to team for exceptional execution at a fair price, in the ever-changing regional, North-American, and global O&G markets.
Key employees have developed trust-based personal relationships with everyone from the key decision makers to the on-site folks. They have 35+ long-standing MSAs with all customers. As a result, they get the “inside track” to projects being considered or given the green light. They are also called on to take over projects that are in trouble. They do no advertising, and yet sales and profits continue to grow at a controlled pace.
History & team:
The founder and his wife built the business organically (little to no debt) from a single truck and a rented backhoe, to the key equipment, dedicated facilities, and most importantly, a team of mostly full-time, and some part-time staff. Together they offer the right mix of skills, attention to detail and a get ’er done attitude. As a result, the owner actually takes time off throughout the year and the business does not miss a beat. The entire team prides themselves on being on time and on budget, with a finished product that is second to none.
Current markets: Oil and gas exploration and production (E & P) companies looking to build, operate / optimize, maintain, and decommission well sites. No down-hole services are offered yet. 25% of revenue is equip. rental
Services offered:
Bidding new P&A work in CO, MT, WY. Many of the new O&G regulations have led to more service offerings and an INCREASE in demand for services at EXISTING well sites. They are actually turning work away.
From cutting in roads, to P&A of well sites ( and everything in between, they offer:
-Well-site construction
-Equipment rental: 25% of rev
-Environmental and safety-compliance services
-Roustabout services
-On-site and off-site custom fabrication
-Well-site telemetry hardware installation and retrofits
-Well-site supervision
-Oil and gas contract pumping
-Oil and gas well pressure testing
-24/7 emergency oilfield service
Compelling-competitive advantages:
-Founder started out as an oilfield worker, and has over two decades of experience.
-Master Service Agreements with 38+ customers
-Long-term customer relationships with regionals to Fortune 500 E&P companies
-Little to no money tied up in on-hand inventory, as most materials and supplies provided by the customers on a pre-paid basis.
-95% of their work is on a T&M basis. Very little competitive bidding.
-Revenue: 45% new construction, 30% ongoing well-site services, 25% equipment rental
-Beyond their core year-round employees, they have a bench of key part-time talent.
-Excellent safety, on-time & on-budget performance
About the Business
- Years in Operation
- 21
- Number of Employees
- 50
- Facilities & Assets
- Purpose-built high-bay shop and office building built in 2014 on a multi-acre flat parcel near the intersection of 2 major highways, as well as their service area.
- Market Outlook / Competition
- 45% of revenue is new construction, 30% is ongoing / recurring well-site maintenance and repair, 25% is equipment rental. MSAs are asking for more services: Work-over rigs, water & heavy hauling, more rental equipment w operators, etc.
- Opportunities for Growth
- 45+ MSA w regional and national O&G players who are asking him to expand into other services such as down-hole work, and work-over rigs (does none now), produced-water management and trucking, as well as other states. He has chosen not to due to his cautious (no debt) approach.
Real Estate
- Owned or Leased
- Owned
- Not included in asking price
- Building Sq. Ft.
- 11,350
About the Sale
- Seller Motivation
- After 20 years owner has taken the business as far as he can.
- Transition Support
- The owner / founder has set up a solid management structure, so the business run with 20-hours a week of his time & attention. He will stay on under a 1099-consulting agreement for up to one year. 2 key people, either of which he could train in 3-6 months to step up and be the GM, or he could train the buyer to be the GM in 6-9 months.
- Financing Options
- Price based on FY (Nov-Oct) 2024 financials. To be adjusted based on trailing 12 mon
Listing Info
- ID
- 1794463
- Listing Views
- 10442
Attached DocumentsAttachment Disclaimer
Listing ID: 1794463 The information on this listing has been provided by either the seller or a business broker representing the seller. BizQuest has no interest or stake in the sale of this business and has not verified any of the information and assumes no responsibility for its accuracy, veracity, or completeness. See our full Terms of Use. Learn how to avoid scams.
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