Oilfield Construction Roustabout Trucking Pipelining & Testing Business For Sale

Business description

CURRENT PRICING IS BASED ON 5X TRAILING 12 MONTH EBITDA. 2011 Cash flow is estimated at a minimum of $7,000,000. Started in 1971 with 2 men and a truck this family business has grown to 95-100 employee business that supplies services to most of the oil field giants. The owner started work in the oil fields at age 14 and has experience and contacts in all areas of the industry. With a major focus on Roustabout Service the company has found that additional profit centers such as road building, Pumping, Trucking, Pipelining, Flow Testing, Rock Crushing, and Well Head Management Services, PIC programs added to the versatility of the organization and is appealing to customers as a one call shop. Current staff includes Shop Foreman / GM, Safety Coordinator, Maintenance Manager, Field Supervisors and Office Manager. A synergistic buyer or PEG group interested in a roll up would find this company a key component to their operations. NOTE: Average cash flow for the last 3 years has been 37% of gross sales!!!

Property information

Location:

Desirable

Premises details:

Currently operates from 5 locations in 4 cities. Main office is new and is a great facility/ work environment. All locations are maintained to promote safety in the work place, and safe operations. Lease info on all properties are at current market rates and available for purchaser to review and discuss with landlord as part of any transaction.

Business Operation

Expansion potential:

Company is well balanced in its operation but could expand with more employees'. This would require a full time HR person, training foreman, and additional working capital for equipment purchases, safety training, and other fixed costs. Additional work is available to the seller, the need is for more people, training, and upper level management. Currently company fields 20 roustabout crews, daily and other crews in 6 other operational areas that the firm supplies service.

Competition / Market:

Normal competition in the market place however, seller claims to turn down work on a daily basis but could grow the business more if he was able to hire and train more employees. There is the potential to do a roll up with this firm and 4 or 5 others we represent in a 300 mile radius which would give even greater clout to the operation.

Reasons for selling:

Semi Retire-Retire

Employees:

95-100

Years established:

1971

Other information

Support & training:

Seller will provide transition period as negotiated in the purchase agreement. Seller is open to working for / managing the operation for a new owner for some period of time that is agreeable to both parties based on duties and compensation.

Financing available:

As negotiated in the purchase agreement.

Furniture / Fixtures value:

$3,246,300 (included in the asking price)