Solar Energy Sales – Residential – in California

Very profitable, growing rapidly, boundless market growth potential. The company uses proprietary formulas and processes to identify, solicit, and acquire the most likely prospective customers for residential solar installations. The company conducts free 'no-obligation,' individualized home energy assessments, including an analysis of historical and current electricity usage costs. They identify various federal, state, local, and private programs that may underwrite most or all the cost of solar power equipment and installation. They then recommend a cost-saving course of action and refer homeowners to the appropriate solar equipment contractor to help lower utility costs, already saving California residents many millions of dollars on their utility bills in a 'green', eco-friendly manner. The company refers to homeowners as 'customers' even though the company is paid commissions by solar equipment partner contractors. They operate with non-exclusive supplier contracts. While currently they are primarily using the installation services of just two major providers, they are free to add as many more as they may choose. Personnel. The staff is comprised of five employees including the owner. Additional staff is being recruited and trained in the company's proprietary methods and practices. The staff is able to work remotely, making employment that much more attractive in the post-Covid economy. Market & Growth Opportunities for Solar Energy Sales: > The market opportunity is substantial and secure even assuming 2024 industry turbulence in the unlikely event that federal tax credits are not extended and assuming no out-of-state market expansion. Even with shifting public policies, the company provides an economical energy alternative for homeowners. > Deployment into other states significantly increases opportunities for profit. > A very large new opportunity for economical and efficient battery backup systems is emerging; this business is well-equipped to capture that new market. > The business does not currently market commercial and industrial building installations; a new owner could apply the same techniques and processes to those properties. > This business can expand beyond the Bay Area to most of California and to other states with favorable solar conditions and public policies. Financial Overview. In 2021, the business generated seller’s discretionary earnings (“SDE”) of about $1,000,000 on gross sales of ~$1,500,000. Sales are recorded on a cash basis (when revenue is deposited); typically there is always about $250,000 in pending “accounts receivable” (completed sales revenue not yet received). Gross revenues and net cash are expanding monthly. Gross Revenue (Cash Basis): 2017 $202,000 2018 $260,000 2019 $806,000 2020 $857,000 2021 $1,500,000 75% over prior year SDE for 2021 exceeds $1,000,000. Detailed financial information and documentation, and the identity and location of the business will be disclosed only upon submission of a signed non-disclosure agreement ('NDA') and a preliminary discussion with the broker. The Transaction. The transaction will be for the entire business. Some seller financing may be available for a qualified buyer. The price offered is $1,500,000 (less than 1.5x 2021 SDE, 1x annual revenue). The company is looking for expressions of interest from buyers able to make and fund an acquisition of this size. Included are all branding, intellectual property, contractual relationships, proprietary formulas and procedures, personnel, and sufficient training and transition time to allow for the smooth transfer to new ownership. The buyer may acquire the business as an asset purchase or as a purchase of corporate ownership, at the buyer’s discretion and option. Exclusive Broker: Tim Cunha, J.D. (DRE #01919755) Note: All data on this business are provided by the Seller for information purposes only, and no representations are made by the Broker as to accuracy. The Broker has made no independent verification of the data contained herein. The Broker represents the Seller and does NOT represent the Buyer. The Buyer is advised to perform independent due diligence and seek the advice of appropriate qualified professionals prior to purchasing the Business. Location: San Mateo, California