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Nashville Asphalt Patching & Paving with Large Contracts



  • Profit Margin

  • Employees
    (1) COO/Sr. Project Manager, (1) Office Manager, (2) Project Managers, (1) CDL Driver, (2) Leads, (3) Labor

  • Intangible Assets
    Reputable and positive name in the community, dynamic branding, positive word-of-mouth referrals, building boom in the area

  • Price

  • Revenue

  • Equipment

  • Location
    Nashville, TN

  • Service Area

  • Down Payment

  • Cash Flow

If. you are looking for an in-demand asphalt paving business in a town booming with construction, then look no further than this gem.  Started in 2010, this business has experienced rapid growth since 2014.  Working on commercial and residential projects, the main services provided by this company are asphalt road repair and paving for municipalities, utilities, builders, and schools.  Also offering poured concrete work, this business completes projects such as poured wall construction, footings, curbs, gutters, and storm ponds.  Other services can include excavation, gravel paving, and parking lot preparation. 


This growing company contracts with local municipalities, schools, utilities, and other entities to provide superior and low-cost options for maintenance, remodels, or new projects.  With a highly-regarded name in the community and a marketing strategy that is hard to miss, this company is known for quality work, affordable prices, reliability, and an honest approach. 


While this company has grown tremendously, there is much room for expansion and further gains.  the owners have decidedly maintained a healthy, yet smaller business by choice.  With a simple vendor registry process, acquiring new business is hassle-free.  A new owner, looking to grow a business by increasing services and/or increasing the team, will be pleasantly surprised by the available work.    

Business Highlights

  • Year Operational:  2010
  • Location and Service Area:  Nashville, TN
  • Clients:  Municipalities, Utilities, Schools, Builders
  • Services:  Asphalt patching & paving, poured concrete, excavation, gravel paving, and parking lot preparation
  • Building:  Currently very low overhead, details in BQ
  • Reason for Selling:  Family health
  • Employees: (1) COO/Sr. Project Manager, (1) Office Manager, (2) Project Managers, (1) CDL Driver, (2) Leads, (3) Labor
  • Seller Training Period: Owner’s spouse (non -owner) will stay on as Foreman indefinitely at current salary 
  • Growth Opportunities:  Many inquiries about work come in daily, hire additional staff to increase capacity, high working capital will allow increased work potential, expand concrete services
  • Current Owner’s Responsibilities:  Business development/growth, regulatory compliance, quality control, payroll, vendor registry

Financial Highlights

  • List Price: $1,800,000
  • Gross Sales:
    • 2018: $1,800,556 Annualized
    • 2017: $1,332,521
    • 2016: $402,682
    • 2015: $364,468
  • Cash Flow:
    • 2018: $628,628 Jan-June
    • 2017: $522,032
    • 2016: $40,733
    • 2015: $113,914
  • Assets Included in Purchase*
    • Equipment: $810,365: Excavator, Hotbox, Paver, Tack Truck, Roller, Infrared Recycler, Western Star Truck, Tilt Trailer, Track Loader, Chevy Flatbed, GMC Flatbed, Gooseneck Trailer
    • Intangible Assets: Reputable and positive name in the community, dynamic branding, positive word-of-mouth referrals, building boom in the area

*amounts may vary

Cash Flow Analysis

Description of Financial StatementP&L Statement
Jan-June 20
Tax ReturnTax ReturnTax ReturnTax ReturnNotes
GROSS SALES$865,652$1,332,521$402,682$364,468$45,193
Net Income Shown on Financial Statement$626,539$70,728$3,522$3,114$2,027
Meals & Entertainment$770$1,689$0$0$139
TOTAL ADDBACKS$2,089$451,304$37,211$110,800$139
Seller's Cash Flow = Total Addbacks + Net Income$628,628$522,032$40,733$113,914$2,166
Profit Margin72.62 %39.18 %10.12 %31.25 %4.79 %
  • 38% profit margin in 2017
  • 228% growth from 2016-2017
  • 263% growth from 2015-2017
  • 2,826% growth from 2014-2017

Typical Clients

  • Municipalities
  • Utilities 
  • Builders
  • Schools
  • Subcontracting companies for builders

Specific information regarding clients is available upon the receipt of a signed Non-Disclosure Agreement.


  • Prep Work
    • Demolition
    • Excavation
    • Grading
    • Haul away
    • Small area milling
    • Parking lot preparation 
  • Asphalt Paving
    • City roads
    • Neighborhood roads
    • Residential Driveways
    • Parking lots 
  • Asphalt and Concrete Patching
    • City roads
    • Neighborhood roads
    • Parking lots 
  • Concrete Work
    • Walls
    • Footings
    • Curbs
    • Gutters
    • Storm Ponds
    • Sewer Installation


  • COO/Sr. Project Manager (1) 
  • Office Manager (1) 
  • Project Managers (2) 
  • CDL Driver (1) 
  • Leads (2) 
  • Labor (3)

Growth Opportunities

  • Many inquiries about work come in daily 
  • Hire additional staff to increase capacity 
  • High working capital will allow increased work potential 
  • Expand concrete services 
  • Add Line Stripping 
  • Add concrete curbs and sidewalks 
  • Add flagging 
  • Add sweeping 
  • Add milling

Valuation Details

The Firm Business Brokerage used a Cash Flow Valuation methodology to determine the Purchase Price of the business. 

The formula used is as follows:

Cash Flow       x          Prescribed Multiple     =          Fair Market Value

Cash Flow is the sum of business net income plus any owner perks and any non-onward going expenses.

A multiple is prescribed by a 20 question, 100-point parameter ranking system that is used to analyze the current business health. Each question is based on a scale from 1 to 5: 1 being low, 2 below average, 3 average, 4 above average, 5 high. The average of the responses sum is the business’ prescribed multiple.

For this business, a 2017 Cash Flow was used with a prescribed multiple is 3.53.  With this information, the computation is as follows:

$522,032         x          3.53     =          $1,842,773

The Fair Market Value found above positions the business List Price at $1,840,000.

Funding Example

Purchase Price:                            $1,800,000

15% Buyer Down Payment:            $270,000

25% Seller Financing:                     $450,000

60% Bank Loan:                           $1,080,000

Seller Financing 7-year term at a rate of 4.50% equals a monthly loan payment of $6.255.

Bank Loan 8-year term at a rate of 6% equals a monthly loan payment of $14,193.

After business expenses and loan payments, a buyer with a 15% down payment of $270,000 would retain a profit of $276,658, which results in a 102% return on investment in the first year.

A lender is required to have a minimum 1.5 coverage ratio for any business loans extended. At a proposed Purchase Price of $1,800,000 with the terms listed above, the coverage ratio is 2.13.  

Please note that the decision of whether to extend a loan on any sale belongs to the bank, and this document does not guarantee specific terms or verify that financing is available. 

Purchase Price:



Bank Loan Needed: $


Funding Details


Offer Price: $

% Buyer Cash Down at Closing: $

% Seller Carry Back via Promissory Note: $

year term at a rate of %

% of Purchase Price secured by Buyer and Seller

Total Bank Loan Need: $

% of Purchase Price

Desired Loan Type:

Desired Bank Terms: year term at a rate of %

Total Business Assets, Inventory, and A/R: $

Total Undercollateralized Loan: $

Loan Payments

Monthly Payment to Bank: $
Yearly Payment to Bank: $
Monthly Payment to Seller: $
Yearly Payment to Seller: $
Total Monthly Debt Service: $
Total Yearly Debt Service: $


Fixed Charge Coverage Ratio

The bank will require a minimum ratio of 1.5 to be lendable.

Cash Flow:
2017 Cash Flow
Annual Debt Service: $

Buyer's Net Operating Income (NOI)

The amount of money the Buyer will retain as profit.

Cash Flow:
2017 Cash Flow
Annual Debt Service: -$

Buyer's Return on Investment (ROI)

The rate of return on the Buyer's down payment.

Down Payment: $
ROI: %


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210 N 78th St. 2nd Floor
Omaha, NE 68114

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f 402.939.0857

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