The plumbing industry is a stable industry. There is never a shortage of people who need plumbing work on their homes, businesses or apartment complexes, and this constant demand makes owning your own plumbing company an appealing opportunity for many prospective buyers. However, starting your own company from the ground up can be difficult. Conducting market research, finding the space, finding the right people and growing your customer base can take years, which is why many investors look to buy an existing plumbing company. Buying from a plumber looking to sell their business means you have the opportunity to own a business that ideally will have good value, a good reputation and a healthy customer pipeline. However, you don’t want to just buy any company. You want to buy the right plumbing company and when you buy it you want to properly manage it. Here are a few tips for buying and managing an existing plumbing company.
Speak with any plumbing company owner and they will tell you that staffing is their biggest challenge. It is hard for contractors to find good people and keep them, which is why if you are buying a plumbing company, you want to purchase one with established staff. This means having enough managers and field contractors to accommodate existing clientele. Buying a plumbing company with staffing issues may help you negotiate a lower price to purchase the business, but will also put you in the challenging position of trying to find qualified contractors while trying to meet customer demand. You will pay more of a premium for a well-staffed company but it will be a boon to your ownership down the road.