This mobile crane and lift service is a big, established operation. But once you run the numbers, the upside starts to shrink fast.
This company operates in Utah County and has been in business since 1999, serving residential, commercial, and industrial clients. It offers a range of crane and lifting services with NCCCO-certified operators and a strong focus on safety and reliability.
The business appears well-established, with a long-time customer base, experienced operators, and a management team expected to stay post-sale. With over $3.5M in equipment included, this is clearly a serious, asset-heavy operation rather than a small service business.
But this is where buyers need to be careful. Large, asset-heavy businesses often look impressive on paper, but that does not automatically translate into strong returns after financing.
Deal Snapshot
Now let’s run this through a standard SBA financing scenario.
SBA Scenario (10% Down)
After debt service, the buyer is left with only about $220K per year. That is the core issue with this deal.
What Stands Out
- Long operating history: Established in 1999, the company has over two decades of experience.
- Strong asset base: Over $3.5M in equipment is included, providing real tangible value.
- Diversified customer base: Serves residential, commercial, and industrial clients.
- Certified workforce: Operators are NCCCO certified, which is critical in this industry.
- Management continuity: Key operators and management are expected to stay post-sale.
Potential Risks
- Premium valuation: At over 5x cash flow, the business is priced significantly above typical industry multiples.
- Thin post-debt income: Only about $220K remains after financing on a $5M purchase.
- Low DSCR buffer: A 1.29 DSCR leaves very little room for revenue fluctuations or cost increases.
- High capital intensity: Equipment-heavy businesses require ongoing maintenance, repairs, and eventual replacement.
- Large equity requirement: A buyer needs to commit roughly $500K+ upfront for relatively modest returns.
- Real estate not included: The property is owned but not part of the sale, which may introduce lease or additional purchase considerations.
BizHub Verdict
This deal scores a 6.2 / 10. Not because the business is weak, but because the valuation eats into the upside.
You are tying up a significant amount of capital to end up with cash flow that looks more like a much smaller business, but with much larger operational and financial risk.
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