Top-level Custom Closets And More - Lucrative For Sale

Description

Custom closet design and installation business for sale serving Portland and surrounding areas. Closets are the primary service, with additional storage and organization projects offered throughout the home.

Services

• Custom closets
• Pantries
• Laundry rooms
• Garages
• Attic storage
• Bookshelves and built-in storage

Project economics

• Typical project value: approximately $6,000 to $9,000
• Typical installation: approximately one day
• Typical project timeline from consultation to installation: four to six weeks

The seller states that competing custom-storage projects in the market may be priced around $12,000 to $15,000 or more. Buyers should independently review current local pricing and gross margins.

Design process

The company uses software with AI-assisted design capabilities to prepare layouts based on measurements and customer requirements.

Once the required project information has been entered, the seller states that an initial design can be generated in approximately 30 seconds. A professional interior design background is not represented as necessary under the current operating model.

Manufacturing and installation

The company works with five outsourced manufacturers that fabricate components for custom projects.

This outsourcing model limits the need for an internal manufacturing facility and related fixed overhead. Installation is handled after the components are produced and delivered.

Growth

• Increase closet project volume
• Cross-sell pantry, garage and laundry-room projects
• Develop relationships with builders and remodelers
• Partner with real estate agents and interior designers
• Expand into nearby service areas
• Add installation capacity as demand grows

Due diligence

Buyers should verify historical financials, gross margins, average ticket size, current backlog, customer deposits, manufacturer relationships, software licensing, installer compensation, lead-generation costs, warranty obligations and the actual four-to-six-week project cycle before closing.

Buyers should also confirm any contractor registration, installation permits, insurance and other requirements applicable to built-in residential storage work in the current service area.