CONSTRUCTION M&A EXPERTISE

WHY YOU CAN TRUST CALDER CAPITAL'S CONSTRUCTION EXPERTISE

If you are considering selling or buying a construction business, you want to find the best construction M&A brokerage firm to represent you, a firm that understands some of the unique obstacles and investment highlights that construction businesses embody. Calder Capital combines the advantages of a local M&A brokerage firm with the expertise and contacts of a large M&A investment banking firm. We have been advising on the sale or purchase of construction businesses for over a decade and we are experts at understanding and navigating construction-specific challenges that arise in transactions - project portfolio reviews, project management capabilities, equipment assessments, licensing requirements, and bonding and insurance, just to name a few.

With a proven track record of successfully closing over 50 construction transactions in the past five years alone, we are the trusted experts to navigate the complex landscape of construction mergers and acquisitions. Our deep understanding of the construction sector combined with our extensive network of industry contacts, confidential marketing engine, and award-winning team of construction M&A Advisors allows us to deliver exceptional results for our clients.

We are so confident in our ability to generate the most qualified interest, negotiate the highest offers, and find the right fit for the continuity of your business that we work on a month-to-month basis. If you are not satisfied with our efforts or services, you can terminate the agreement with us at any time.

RECENT SUCCESSFUL CONSTRUCTION TRANSACTIONS

Chicago, IL

Acquired By

Individual Investors

Chicago, IL

Served as the Exclusive M&A Advisor to AAA Engineering

Dayton, OH

Acquired By

St. Henry, OH

Served as the Exclusive M&A Advisor to Schockman Lumber

Calder Capital is recognized as a Construction Industry Expert by the Business Brokerage Press

WHAT ARE UNIQUE & CRITICAL COMPONENTS THAT BUYERS CONSIDER WHEN PURCHASING CONSTRUCTION BUSINESSES?

Beyond financial performance, buyers and their advisory teams will dig deeply into the following areas when analyzing any construction M&A transaction. In the preparatory phase, Calder will work with you to document, highlight, and explain these areas of the business and get prepared for intense buyer scrutiny.

Project Portfolio: Reviewing the target company's project portfolio is crucial. Buyers will evaluate the size, complexity, and profitability of completed and ongoing projects. They will also consider the diversity of projects across different sectors, geographic locations, and contract types.
Contractual Agreements: A buyer will need to understand the existing contracts in place before acquiring a construction or building business. Buyers will review construction contracts, subcontracts, and client relationships to understand the terms, obligations, payment schedules, and potential risks associated with the projects.
Project Management Capabilities: Potential buyers will evaluate the effectiveness of project planning, scheduling, cost estimation, risk management, and resource allocation. They will also consider the company's track record of delivering projects on time and within budget.
Equipment and Assets: Buyers will assess the condition, maintenance, and utilization of construction machinery, vehicles, tools, and other assets. They will also consider any potential needs for equipment upgrades or replacements.
Workforce and Talent: Buyers will evaluate the skills, experience, and expertise of the workforce, as well as any key personnel or management team members. They will also consider employee contracts, compensation structures, labor union agreements, length of service, and potential risks related to labor shortages or turnover.
Regulatory and Compliance: Construction businesses are subject to various regulatory requirements and compliance standards. It is important to assess the target company's compliance with construction regulations, building codes, safety protocols, environmental regulations, and licensing requirements.
Bonding and Insurance: Evaluations of the target company's bonding and insurance arrangements will be a top concern. Buyers will review performance bonds, surety bonds, liability insurance, and any claims history. They will also assess the company's ability to obtain adequate bonding and insurance coverage for future projects.
Market and Competitive Analysis: Buyers will analyze the target company's position within the construction market to understand the competitive landscape. They will evaluate market trends, the company's reputation, competitive advantages, potential threats, and opportunities for growth or expansion.

WHY DON’T SOME CONSTRUCTION BUSINESSES SELL?

There are a few reasons why construction businesses do not sell, and Calder has worked diligently to eliminate these primary obstacles to selling.

The number one reason that construction businesses do not sell is because there is a significant gap between what the seller wants and what the market provides in terms of valuation. Calder eliminates this by conducting a thorough “market-informed” business valuation before we ever ask for a client engagement. Because we often sell more than a dozen construction businesses per year, we have an accurate pulse on valuation multiples, deal structure, and the state of the buyer pool. We combine our proprietary on-market data and insights with thorough research utilizing trusted valuation resources for businesses that match your specific construction niche and financial performance. The result is a precision valuation analysis that reflects the market feedback you will receive from buyers if you decide to proceed with a sale process.

At this point, it is 100% up to you whether to move forward with a sale process. If the valuation is not where you need or want it to be, Calder can point you to resources that can help you to improve your valuation or we can all simply wait. Sometimes, construction business owners decide to wait 1-2 years before selling once they understand what drives valuation. At no point during our initial valuation process will you feel compelled to make a decision that is not in your best interest. Calder Capital is in it for the long game, and this means standing shoulder-to-shoulder with our prospects and clients and helping them to make the best decision for their businesses and lives.

The second reason that construction businesses do not sell is the quality of their financial records. When buyers and lenders are making critical decisions to pay and loan, respectively, millions of dollars, it is critically important to them that they can trust the information that they are receiving from the seller. Periodically, we receive information from construction business owners that contains errors or is not prepared to the accounting standards that buyers expect. During our business valuation exercise, if we identify areas where buyers are likely to be confused or have questions, or we encounter impasses with respect to obtaining the types of financial records that buyers and lenders will expect during the analysis and due diligence phase, we will discuss these with you and help you work with your CPA or other accounting advisors to prepare the business appropriately for the type of scrutiny that a sophisticated buyer will bring.

CONTACT US FOR A CONFIDENTIAL CONSULTATION

We want to learn about your business and goals. After our initial conversation, we will send you an information request regarding what is needed for us to conduct a “market-informed” valuation analysis. This analysis is unique as we carefully assess your business through the eyes of a buyer by pairing construction industry transaction data with our own proprietary transaction data to produce a custom report indicating the valuation range that we believe will be reflected by the market. We will also discuss how to position your business to achieve a premium valuation.

Along with the valuation analysis, we will provide a custom confidential marketing plan detailing exactly the steps that we will take to find buyers and maximize competition. If you decide to move forward with a sale, we will design a confidential information memorandum (CIM) to outline the advantages of your construction company. We will never provide your company’s identity or any confidential information to any buyer unless they have signed a strict confidentiality agreement, answered qualifying interview questions, undergone a background check, and been approved by our team (and/or our client).

Calder will design a sophisticated and comprehensive marketing campaign that confidentially introduces your business to a pool of 1,000s of buyers. Using sophisticated and proprietary communication campaigns, we will narrow the pool of buyers down to the most serious ones, have one-to-one discussions with them, solicit offers, and then sit down with you to review the best offers and advise you on the advantages of each one. When you have chosen the best offer for you, we will suggest ways to negotiate and improve each offer and then roll up our sleeves to make the final offer as perfect as possible. We'll answer questions during due diligence and keep things on track with the attorneys.

At Calder Capital, we offer unparalleled industry and buy-sell expertise that sets us apart from the competition. Whether you're looking to expand your construction portfolio or sell your construction business, our team of seasoned professionals will guide you every step of the way. We have a comprehensive understanding of the unique challenges and opportunities within the construction sector, enabling us to provide strategic advice and tailored solutions to meet your specific goals.

Trust Calder Capital as your partner in construction M&A. Contact us today to learn more about how our industry expertise, “market-informed” valuations, and our unique short-term agreement approach align us to achieve your goals in the dynamic world of construction transactions.

CONSTRUCTION CLIENT TESTIMONIALS

“Working with Scott was an exceptional experience, where he not only met but exceeded my expectations. He always made himself available and handled everything with utmost professionalism and care. It was as if he was treating the deal as his own, leaving me feeling secure and in trusted hands. Overall, the transaction was a smooth and stress-free experience, and I highly recommend Scott and Calder Capital to anyone looking to buy or sell a business.”

– Dane Englert, Owner, The Ferraro Group, Phoenix, AZ (Buyer)

“Calder Capital made a process I could never have navigated on my own both manageable and successful. Their expertise ensured we maximized every opportunity, and their guidance was invaluable from start to finish. The fair valuation they provided was key in attracting serious buyers, and their support was essential in getting us through to a smooth closing. While there were challenges along the way, Calder’s team and Garrett [Monroe], worked hard to deliver a great outcome. In the end, we found the perfect buyer and achieved a successful deal. I’m grateful for their help and would highly recommend Calder Capital.”

– Steve Hansma, Former Owner, Allied Electric, Walker, MI (Seller)

“I began searching for my next opportunity on my own and I did not realize how arduous it was going to be. It was a very difficult process that created moments of doubt and second-guessing. Once Shane and the Calder team began working with me, I felt true progress in my search. They helped lay out a strategic search plan with many different factors being weighted. From there, we were able to navigate several different opportunities and achieve the ultimate goal of acquiring a business that checked a majority of my boxes. Shane was always one phone call away, and every step of the way he made me feel supported. I would highly recommend the Calder team to anybody that needs the extra assistance in finding their own opportunity.”

– Trip Biesanz, Owner, G & C Glass & Mirror, Chicago, IL (Buyer)

"Max, I just wanted to take a minute and personally thank you and Garrett for getting this deal over the finish line! Your company has been a pleasure to work with, and Garrett has been a major player in getting this deal done on time and before the new year; you should be very proud of his professionalism and can-do attitude! I first remember meeting [Max] for lunch and the conversation we had. From then on, I knew Calder Capital would be the firm to help us reach our goals of getting our company into the hands of a new owner that would continue the legacy that we have built up over the years. With Garrett’s non-stop pushing on all fronts, we were able to get it done on time! We will have no problem recommending Calder Capital to anyone looking to sell their business! Thanks again for everyone’s help at Calder Capital!"

— Todd & Debbie Strain, Former Owners, Strain Electric Co., Wyoming, MI (Sellers)

"Sandi and I would have never been able to do on our own what we did working with the Calder team. We would have never been able to access the caliber of the many potential buyers that Calder was able to provide for us. While the number is always important in the sale of a business, we wanted to make sure that the new owners would be proper stewards for our business and our team. Scott and the rest of the Calder team knew how important that was for us and showed the heart of servants in finding the right fit. We are proud to have been able to experience the fastest closing in Calder’s history–although I must admit that it didn’t feel that fast as we were going through the process. The expertise and experience of the entire Calder team helped us work through this process better than we could have ever imagined. If you are considering selling your business, I would highly recommend the Calder team."

— Rog Bronsink, Former Owner, Starlite Kitchens & Baths, Inc., Byron Center, MI (Seller)