Issue link: http://deals.uberflip.com/i/1533898
HIGH‐END, LUXURY CUSTOM HOME BUILDER Mid‐Atlanc US #68322 BUSINESS HIGHLIGHTS Founded in 1992, the Company is a high‐end, luxury custom home builder that operates in central Virginia. It generates its revenue from the construcon and reconstrucon of single‐family homes that currently range from $1M ‐ $8M per project. The Company has developed a broad set of capabilies and completed work on a variety of custom builds during its operang history of more than 30 years. It combines innovave technology, quality crasmanship, and a client‐focused approach to deliver exceponal custom homes that meet the highest standards of design, funconality, and sustainability. The Company offers an array of services designed to cater to the unique needs and preferences of each client. They specialize in construcng fully custom‐designed homes, integrang advanced technologies such as insulated concrete forms, geothermal heang and cooling systems, spray foam insulaon, residenal elevators, and smart home technology. Their offerings include luxury homes with high‐end materials and custom amenies, eco‐friendly homes with energy‐efficient designs and sustainable materials, and smart homes with integrated automaon systems. Xavier Staggs Senior M&A Advisor Email: xstaggs@generaonal.com Phone: 304‐617‐8007 INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 DISCLAIMER: All informaon contained in this document has been provided by the subject company to Generaonal Equity and while believed to be correct has not been verified. Accordingly, Generaonal Equity makes no representaons or warranes as to the accuracy and truthfulness of such informaon. The recipient hereof acknowledges that Generaonal Equity shall not be liable for any loss or injury suffered by said recipient in any way connected to the delivery by Genera‐ onal Equity of this document. At all mes Generaonal Equity and/or its affiliate network members are agents for the seller and not for the buyer. Generaonal Equity's fees are paid by the seller. REVENUE / EBITDA Generaonal Equity 125 Park Avenue , 25th Floor New York, NY 10017 SIGN NDA ► $12.3M Aug. 2024 TTM Revenue $833K Aug. 2024 TTM EBITDA $14.7M 2023 Revenue $1.8M 2023 EBITDA REPRESENTATIVE PROJECT CUSTOMER MIX INVESTMENT APPEAL Outstanding Growth Opportunies. The Company has historically relied on its reputaon, including the visibility of its completed homes, and referrals from past customers. Several opportunies exist for the Company to significantly increase revenue and profit through markeng efforts and by leveraging its proven reputaon to pursue and penetrate new and exisng markets. Documented Systems and Procedures. The Company maintains detailed policies and procedures to ensure all aspects of the business are appropriately managed and streamlined. From client onboarding to homebuilding customer support, the Company reduces errors and improves efficiency within the operaons. Strong Historical Sales Growth. The Company's historical sales have grown from $6,625,000 in 2021 to $14,699,000 in the fiscal year ending December 31, 2023, represenng a compound annual growth rate of 49.0%. The Company' sales increased in each year of the historical period. Rising Gross Profit Trend. The Company's gross profit trended higher during the historical period, increasing from 12.3% of sales in 2021 to 18.2% of sales by the end of 2023. The Company has been able to efficiently control its cost of sales aer high growth, demonstrang its ability to maximize profitability potenal. Backlog of Awarded Jobs and Jobs Under Bid. As of June 2024, the Company's backlog of awarded jobs under construcon had $23,183,000 in remaining contract work to be completed. The Company's backlog, including commied jobs not yet started and jobs in the hopper, demonstrates significant demand for its custom homebuilding services and facilitates revenue opportunies from one year to the next. Modest Ongoing Capital Investment Requirements. The need for capital expenditure is minimal moving forward. Capital expenditures for vehicles, and office furniture, fixtures and equipment are conservavely projected at approximately $15,000 per annum to support connued operaonal efficiency.