SBA Acquisition to $9m Cash Exit in 5 Years

So we launched in Oregon in the beginning of 2018 with him and then another future tech in the right hand seat. So with two guys and a truck.

So relatively low Andy. But how, how did he get trained on the technical stuff?

So it's something where when we launched in Oregon, we had to be very generous with our invoicing. So something where it took him three hours to fix a job that we knew should take an hour and a half. We charge an hour and a half on it.

So the Oregon market, lunch with him and then another employee in the right seat grew over the first year to five employees. And then that was essentially you trained enough of one of the guys for him to go buy another truck and stick him in.

It's relatively low capex to grow because you essentially bought a couple trucks, you bought some materials, you prepaid some wages for training, and then by the end of the year we got into I think about like a $300,000 revenue business. We with almost no EBITDA contribution. It was like a 15k EBITDA contribution in the first year that been business though over 2020.

And there's some Covid interruption obviously during that time, 2021, 2022 grew to where it was essentially the same size as the Colorado business because the Portland metro market is the same as the Colorado market.

So it got to nine employees, was contributing, I think 600k in EBITDA contribution and roughly the same margins as the Colorado business where we blobbed out from servicing everything public storage did to then adding extra space and cube smart who are two of the other big national REITs. And then providing the same great service we did in Oregon. We sort of proved that worked in Oregon to our…

So then we said, what's the next worst market where you guys have? And they said Bay Area. So we launched in the Bay Area in end of 2019 into 2020, then Washington in 2021 and then Arizona in 2022.

So we just kept on sort of marching our way around the West coast, adding GMs, adding techs, and then expanding.

The business and always being led by this existing customer telling you where they want you to go.

Exactly. So that's how when actually at the end of 2022, when I sold the business in the middle, then public storage was the exact same customer concentration as when I bought the business. Funnily enough though, in the Colorado market, we'd shrank them a lot to where they were about 20% of the business. But in these new markets they would represent like and when we launched they'd be 100% of our…