Home Service Business


In 2014, a buyer approached Keith MacKenzie, Founder at Chinook with a vision: to purchase a business on Vancouver Island to be closer to his family. Relocating from Alberta, our buyer sought a new venture to replace his oilfield income. Fortunately, Chinook had a home services business available, and the buyer's background in oilfield contracting was analogous enough to give him confidence that he would be successful with the new venture. Soon after, the deal closed, setting the stage for a transformative journey.

The initial years started strong - as most do. All employees stayed with the company, the prior owner was helpful with the transition, and our buyer was gradually learning the ins and outs of the business. Unfortunately, the owner of the leased  property declined to extend the lease, rendering the business homeless. Undeterred, our buyer turned adversity into opportunity, relocating the business to a property he purchased about 40km away from the original location. The new location offered increased access to some more lucrative markets as well as better exposure and parking for customers. In addition to the digs, the new owner continued to improve the company through capital expenditures and a focus on business systematization, leading to significant growth in both revenue and profits.

In the meantime, as the business flourished, Chinook took the opportunity to support a business owner who owned a similar business in a different part of Vancouver Island.  Noting the synergistic opportunity, Keith reached out to our buyer to gauge his interest. Shortly thereafter, Chinook helped facilitate a second acquisition for our buyer, allowing him to double revenues through this strategic purchase.

Fast forward seven years, and our buyer, now a proud owner of two successful home service businesses, decided it was time for a new chapter. Engaging Chinook once again, he successfully sold both enterprises, realizing substantial returns on his investments.

Over the span of nine years, Chinook played a pivotal role in the buyer’s entrepreneurial journey, assisting in the purchase of two companies and the sale of those same two companies. The financial outcomes speak for themselves: Company A, purchased for $400k, was sold for more than $900k, with an average EBITDA of $200k per year, resulting in pre-tax net proceeds of $2.3 million. Company B, acquired for $600k, was sold for $650k, generating pre-tax net proceeds of a little over 1 million over the years our buyer owned the firm.

Additionally, our purchaser invested wisely in the previously mentioned commercial property, buying it for $300k and seeing its value double from the time of purchase. The financial benefits from ownership, excluding salary, totalled an impressive $4 million over his nine-year entrepreneurial journey. Despite the inevitable challenges of business ownership, the average annual financial gain exceeded $400k, making our buyer’s experience not only a success story for Chinook but a testament to the resilience and profitability of strategic business acquisitions.

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