Providing Electrical, Masonry, & Fencing Owners the option to Scale or Retire
Higher Returns
Serviced based companies generally have high returns on capital invested in the business. Electrical, Masonry and Fencing only require an office, a modest shop to store tools and equipment (very minimal), and outfitted work vans. Our acquisitions prioritize efficient spending on new assets versus our peers. There is a lot less capital required to run a service based company versus, say, a car manufacturer. The less capital we have to invest on large machinery and equipment, the easier it is for us to profitably grow revenues. This is another reason we love this sector. This offers our investors a great opportunity to receive a high return on invested capital.
Fragmented Industry
Relative to the large supply of baby boomers looking to exit, there are few entities on the demand side of the M&A equation. This leaves us with an opportunity. We know this is the case because smaller private equity firms have just started to invest in utility service companies. We understand the importance of price when deciding to invest.
Damian Lopez
Managing Director