This Week's Deal: Why the Utah Janitorial Company is Hot

This week's #2 listing is exactly the type of deal serious buyers dream about: a 7-year-old commercial janitorial company in Utah generating $2.5M+ in revenue and $600K in cash flow, serving Class A commercial properties with remote operations already built in.

Let me explain why this caught our attention - and why it's likely to sell fast.

The Numbers (And Why They're Better Than You Think)

Here's what we know:

• Revenue: $2.5M+
• Cash Flow (SDE): ~$600K
• Margin: 24% (this is exceptional for cleaning)
• Age: 7+ years established
• Operations: Remote-capable with proprietary systems

Why the margin matters: Most cleaning businesses run 15-18% margins. At 24%, this company is either charging premium rates, operating exceptionally efficiently, or both. That's a massive competitive advantage.

Class A Properties: The Golden Ticket

Here's what most people miss: Not all cleaning businesses are created equal.

This isn't your average strip mall cleaner. They service Class A commercial properties - think Fortune 500 office towers, luxury hotels, high-end medical facilities.

Why this matters:

• Higher barriers to entry (you need insurance, bonding, reputation)
• Stickier clients (switching costs are high)
• Premium pricing (these clients pay for quality and reliability)
• Better payment terms (corporate clients actually pay on time)

Getting into Class A buildings takes years of building reputation and relationships. This buyer skips that entirely and walks into established accounts.

The Valuation Play

Let's run the math on what this is probably listed for:

Typical multiples for this profile:

• $2M-$5M revenue businesses: 3.0-4.0x SDE
• With Class A clients: Add 0.5-1.0x premium
• With remote operations: Add another 0.3-0.5x
• Likely range: 3.5-4.5x SDE

The SBA Financing Math

Here's what the deal looks like with 90% SBA financing at $2.4M asking price:

That's a 98% cash-on-cash return in year one on your $290K investment.

And remember - you're paying down $2.16M in debt with the business's cash flow, building equity every month.

Why the Owners Are Selling (And Why It's Good News)

The listing is transparent about the exit reason:

• One owner is retiring
• Other owner relocated out of state

This is the best-case scenario for buyers. Not:

• ❌ Losing clients
• ❌ New competition crushing them
• ❌ Labor problems
• ❌ Hidden issues

Just life events. Clean exit.

Even better: Both owners are committed to transition support. That's gold when you're stepping into a $2.5M operation.

The Remote Operations Edge

Here's the game-changer: proprietary systems enabling remote operations.

Most cleaning businesses are owner-dependent nightmares. The owner is scheduling, QA-checking, putting out fires 24/7.

This one has systems. Which means:

• You don't need to live in Utah (huge)
• You can scale without breaking the model
• The business has enterprise value, not just "buying yourself a job"
• Multiple exit strategies (sell to PE, roll up, keep growing)

Translation: This isn't a cleaning business. It's a cash-flowing, systematized asset that happens to be in the cleaning industry.

The Bottom Line

Let's recap why this stands out:

1. Proven business - 7+ years, not a startup
2. Elite niche - Class A properties = premium pricing and stickier clients
3. Exceptional margins - 24% vs industry average of 15-18%
4. Remote operations - Systematized, not owner-dependent
5. Clean exit reason - Retirement + relocation, not problems
6. Smart financing math - 98% cash-on-cash return year one

If you're a qualified buyer looking for a cash-flowing service business with real systems and upside potential, this deserves immediate attention.