Growing Colorado Homeowners Association Management Company
Strong margins, Highly trained team and Great reputation
The company, located in the Denver metropolitan area of Colorado, is a full-service management company that services most types of properties and specializes in planned HOA communities, single family, townhome, patio home, condominiums, and commercial. The company’s dynamite team of experienced Community Association Managers bring with them over 100 combined years of experience within the industry, including two managers who are months away from earning their PCAM (the highest professional designation for an HOA manager). The management experts take customer service and administration to the highest level. The company researched and work with the top-tier solutions providers in the industry to ensure their services exceed that of their competitors.
Locally owned and operated, the company’s technology-first approach ensures that staff and clients can easily access data and work from anywhere and at any time. The company has invested greatly in its people, processes and systems to make sure they stay one step ahead of the competition. This has enabled them to be cost-effective and typically deliver lower Total Cost of Management (TCM) than their largest competitors. The company’s clients always have direct access to the company’s administrative support and accounting teams.
The company is a business built on a strong foundation that includes policies and procedures. The company’s leadership team has tried, to the greatest extent possible or practical, to systematize everything they do in order to achieve efficiency, accountability and structure. Virtually all of the company’s policies and procedures have been documented and implemented in the last four years. The company has created an improving and sustainable environment with no decrease in service and quality. By making investments in its website, server, data management, network, equipment, and ERP system, the company has been leveraging technology to provide better and more efficient services to its clients.
The overall Value Builder score that the company received was a 74. Of the eight key value builder drivers, the company rated particularly high in the drivers Hierarchy of Recurring Revenue (100), Hub and Spoke (100), Switzerland Score (88) and Customer Satisfaction (75) (Additional detail available upon request).
The buyer has the opportunity to take on a well-run, fast growing, credit-worthy, and financially stable company with a unique culture, scalable business, and an excellent reputation for quality and service, as well as first class, highly trained and dedicated personnel. The new buyer will acquire the company’s coveted list of contracts (recurring revenue representing 60% of total revenue), which represents approximately. $700K in recurring revenue. The new buyer will also be acquiring the company’s BD database with an extensive list of leads and prospects the company currently has proposals out on or are otherwise is various phases of the lifecycle of the BD process.
While achieving impressive financial and operations results over the past few years; with the new company website, marketing efforts and focus on business development in 2019, the company believes that substantial client and market gains are attainable in the future as well as over the long-run.
The owners are willing to help with the transition to the new owner and with their staff. The asking price is $1,000,000, which does not include the building, but could be purchased with the sale. The asking price includes future cash flows from several new HOA contracts signed in 2019 which are all assignable.