Plumbing and HVAC contractor, Okanagan (asset sale): first read
Source: Business Finders Canada listing MLS 1583 (asset sale), read 2026-10-26. Listing figures are the seller's.
Plumbing and HVAC contractor, Okanagan, listed at $389,000 as an asset sale (equipment, ongoing contracts and goodwill) with reported annual sales of $1,250,000 and FF&E of $75,000 (listing figures). Cash flow is not published. A manager runs staff and job sites, the team includes a Red Seal journeyman, the work has historically been new home construction, and the business operates from premises the owner holds, with a lease or a move to a home office offered; last updated 2026-02-11.
First read: with no cash flow stated, the question is what the price requires rather than what it pays. At 20% buyer equity, a 15% vendor take-back and a 65% term loan, debt service would be about $61,000 a year, so the business needs about $76,000 of cash flow after a market wage for the buyer to reach 1.25x coverage. That is about 6% of the stated sales, a reachable margin for a plumbing and HVAC shop but not one to assume. New home construction work means builder concentration, progress billing and holdbacks, and a pipeline that moves with housing starts; the manager in place is the asset that makes the price work, and also the person whose departure would unwind it.
The three things a buyer should check first
- Three years of statements with the owner's and the manager's pay shown separately, and which contracts transfer under an asset sale.
- Revenue by builder and the current backlog, holdbacks receivable, and warranty obligations on completed homes.
- The manager's and the journeyman's terms and tenure, and the rent the owner will charge if the premises stay.
A Deal Risk Screen on this listing would rebuild the earnings, score the four risk pillars, set out the price the cash flow supports at a stated coverage, and give the five questions to ask before an LOI. Two sample screens are on the samples section of the home page.
This note is general information from public listing figures, not advice on this purchase. Deal Diligence has no connection to the seller, the broker or the business.