Acquisition Underwriting Model — HVAC & Plumbing Edition

In HVAC and plumbing, recurring maintenance revenue is most of the multiple. A book with 40%+ of revenue under agreement trades near the top of the range. Pure break-fix sits at the bottom. This model makes you quantify that before you make an offer.

Ten linked tabs. You type in one of them.

Inputs, SDE Bridge, Sources and Uses, Debt Schedule, Projections, DSCR, Returns, Summary — plus an Industry Diligence tab built for this trade.

WHAT'S SPECIFIC TO HVAC

Add-back lines worded the way service businesses actually keep books: owner truck and fuel, storm-damage one-offs, below-market yard rent from a seller-owned property. Service-truck replacement capex set at realistic levels, because fleet replacement is the number buyers most often understate. A worked $1.4M example at 3.23x SDE clearing 1.41x DSCR.

THE DILIGENCE TAB

Ten items to verify, each with the reason it matters. Maintenance agreement revenue and renewal rate. Technician tenure, certifications and non-competes. Service truck fleet age. State contractor licence transferability — some states don't transfer, and you may need a qualifying individual. Warranty liability on work already performed. New construction versus service mix.

THE SBA RULES, BUILT IN

Calculates the 10% minimum equity injection on total project cost that SOP 50 10 8 restored and that cannot be waived. Credits a seller note toward it only on full standby, capped at half the injection. Tiers the guaranty fee correctly. Then runs three pass/fail tests and tells you the maximum price the cash flow supports versus what you offered.

WHO IT'S FOR

Searchers and self-funded buyers acquiring residential or commercial HVAC and plumbing businesses, roughly $500K to $5M, financed with SBA 7(a).

WHAT IT ISN'T

A financial model, not advice. Not a quality of earnings report, not a certified valuation, not tax or legal counsel. Sector multiple ranges are conventional rules of thumb, not market data. Rates current to November 2026 — confirm with your lender.

FORMAT

Excel (.xlsx). Instant download. Arrives with a fully worked example deal.