One of the largest enterprises in the Otago construction sector is on the market. The turn-key business opportunity is enjoying considerable growth in a sector which has become increasingly popular due to the many benefits offered.
Link business broker Serdar Kabul, who has an engineering degree and has worked with many engineering and service businesses, is marketing this opportunity.
“Since the start of 2021, the property market has been growing rapidly,” he says.
“New Zealand’s construction sector is expected to grow steadily over the next four years and will be worth $48.3 billion in 2024 ($42.6 billion in 2020),” according to MBIE’s National Construction Pipeline Report forecast.
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Kabul says the growing enterprise is operating from multiple locations in the South Island and has a projected turnover of $7 million with an adjusted EBPITDA in excess of $1 million.
Both revenue and profit is growing year on year and there is further potential for growth with a strategic new owner.
“The business is expected to continue growing in the coming years. The majority of work is received from residential building projects as well as some commercial projects.
“In Otago, the sector is forecast to grow by 27 per cent to $3.1 billion, driven largely by expected increases in residential building activity. This supports the owners’ expectations for the future growth of the business.”
With Otago being one of the country’s most attractive regions, the demand for buying homes in the region is expected to grow.
This means the construction industry is likely to remain busy in the coming years.
The enterprise has been in business for years and has become one of the largest go-to businesses in its sector in Otago, with a high capacity to complete major projects.
The business has a high number of loyal and experienced staff, including a highly experienced senior management team capable of operating the business on a daily basis in absence of the owner.
It is an excellent opportunity for either a hands-off investor looking for an established, managed business or an owner-operator who enjoys being active in the business.
The current owners are also ready to stay in the business to ensure a smooth transaction.
“This gives the new business owner a chance to get on board with minimal risk. The new owner can learn the business through the transition period while the current vendors still actively run the business,” Kabul says.
The business has a great management system and smart applications to support smooth operations, as well as a fully equipped in-house engineering workshop, which allows the company to be in full control of its supplies and costs.
“This is a business that provides a lot of value to the community. It would be a tremendous joy for the owners to be part of the growth and expansion of the construction industry in New Zealand,” Kabul says.
There is no price tag on the business and offers are invited.
Contact: Serdar Kabul, 021 188 6144,
— Article supplied by Link Business Brokers
