Sell Your General Contractor in Ohio
We help owners sell general contractors in Central and Eastern Ohio. We work with established companies where the owner wants a planned sale, a clear valuation, and a controlled process.
You decide who learns about the sale and when. We do not publish the company name. Buyers sign a non-disclosure agreement and show that they can fund a purchase before they receive identifying information.
The work starts before marketing. We review earnings, customers, contracts, employees, equipment, licenses, and the jobs or revenue expected after closing. That preparation gives buyers fewer reasons to reduce the price during diligence.
Ohio trade sales also require attention to local registrations and successor liabilities. Ohio has no state general contractor license. Columbus general contractor registration needs a $25,000 bond and liability coverage. Residential jobs over $25,000 fall under the Ohio Home Construction Service Suppliers Act. Ohio sales tax clearance, BWC experience transfer, and unemployment successor rules also apply.
How General Contractors Are Valued
Small owner-operated companies are usually valued on Seller's Discretionary Earnings, or SDE. SDE starts with net income. It adds the owner's compensation, interest, depreciation, amortization, supported personal expenses, and costs that will not continue after closing.
Larger companies are usually valued on EBITDA. EBITDA means earnings before interest, taxes, depreciation, and amortization. It leaves the cost of management in the business because the buyer expects to pay someone to replace the owner's work.
The correct measure depends on the company and the likely buyer. Buyers then apply a multiple based on the quality and durability of those earnings. Clean records, a team that stays, repeat revenue, diverse customers, and low owner dependence can support the upper end of a range. Weak reporting, concentration, short backlog, compliance gaps, and deferred equipment needs can push value down.
We use private company transaction data from BVR DealStats. The median is the middle transaction in the data set.
| Metric | 25th percentile | Median | 75th percentile |
|---|---|---|---|
| SDE multiple | 1.6x | 2.3x | 3.3x |
| EBITDA multiple | 2.1x | 3.3x | 4.7x |
| Revenue multiple | — | 0.39x | — |
BVR DealStats, pulled October 1, 2026. Private company transactions with $250K to $10M in revenue, closed October 2016 to present. NAICS 236220, n=40.
Residential remodelers (NAICS 236118, n=166) ran lower, SDE median 2.1x and EBITDA median 2.5x.
A valuation also tests what the buyer receives at closing. Debt, working capital, equipment ownership, leases, and related-party arrangements affect the final structure. The headline multiple does not show what the owner keeps.
What Buyers Look For
Normalized earnings rather than revenue. Buyers rebuild profit after removing owner perks and one-time costs, because that figure sets the price. Clean up add backs and document each one before going to market.
A detailed work in progress schedule. Buyers check whether jobs are billed ahead of or behind the work done. Keep the schedule current each month so it ties to your financial statements.
Margin by job and contract type, with cost plus preferred over fixed price. Buyers want to see which jobs make money and which carry risk. Track margin on every closed job so you can show the pattern.
Unused bonding capacity. Bonding room tells a buyer how much more work the company can take on. Ask your surety for a letter stating your current capacity.
Signed, staffed, profitable backlog. Buyers pay for work they can see coming, but only if your crew can perform it at a profit. List each backlog job with its expected margin and assigned crew.
Low owner dependence. If clients and subs only deal with you, the buyer fears losing them at closing. Move estimating and client contact to a project manager now.
Documented procedures. Written processes show the company runs without you. Put estimating, scheduling, and closeout steps on paper before you list.
A diversified customer list. A wide customer base lowers the risk of losing revenue after the sale. Show revenue by customer for the last few years.
Buyers do not accept a claim because it appears in a sales package. They trace it to tax returns, contracts, bank statements, job records, employee files, and operating reports. Organized records support the price and shorten diligence.
They also ask who will run the business after closing. A manager, estimator, dispatcher, crew leader, or chef who can stay may matter as much as a piece of equipment. Written procedures make that team easier to transfer.
Common Problems That Kill Deals
One customer above 30 percent of backlog. Losing that customer would cut the backlog the buyer is paying for. Win work from other customers before you go to market, or expect a lower price or an earnout.
Fixed price contracts with eroding margins. Buyers fear inheriting jobs that lose money. Finish or reprice weak contracts and show recent margins by job.
Backlog the current crew cannot execute. Backlog with no crew behind it is not worth much to a buyer. Match backlog to your crew capacity, or hire before you list.
Heavy retainage and slow payment terms. Cash tied up in retainage raises the working capital a buyer must fund. Collect what you can and track retainage by job.
A poor change order history. Unbilled or disputed change orders signal weak job control. Get change orders signed before the work and keep a clean log.
Messy add backs. Add backs a buyer cannot verify get thrown out, and the price falls with them. Support every add back with receipts or records.
Most problems do not end a sale when they are found early and disclosed. They become dangerous when a buyer discovers them after signing a letter of intent. The buyer may reduce the price, demand escrow, or leave the deal.
We identify the issues before marketing. Some can be corrected. Others need a clear explanation, supporting records, and a buyer that understands the risk.
How the Sale Process Works
- Valuation. We review three years of tax returns, profit and loss statements, balance sheets, and payroll records. We build an add-back schedule. We compare the adjusted earnings with relevant transactions. You receive a range and the reasons behind it.
- Preparation. We identify reporting gaps, contract issues, customer concentration, owner dependence, and Ohio compliance items. We address what can be fixed before a buyer sees the company.
- Confidential marketing. We prepare a blind profile that does not name the company. Interested buyers sign a non-disclosure agreement and show that they can fund a purchase before receiving identifying information.
- Letter of intent. We compare the price, cash at closing, financing, working capital, escrow, transition terms, and contingencies. We negotiate the full offer before you grant exclusivity.
- Due diligence. The buyer checks the financials, tax records, contracts, employees, licenses, insurance, equipment, and operations. We manage requests and keep the buyer, lender, CPA, and attorneys moving.
- Closing. The parties finish the purchase agreement, funding, clearances, and transition plan. Six to nine months from market launch to closing is typical for a prepared business.
The company must keep operating through the process. Buyers and lenders use the newest results. A weak quarter during diligence can change the price or financing. We set a schedule, organize requests, and keep management focused on the business.
Frequently Asked Questions
How much is a general contractor worth?
Value starts with adjusted earnings, not a rule of thumb. Smaller owner-operated companies are usually priced on SDE. Larger companies are usually priced on EBITDA. The published ranges on this page are a starting point. We confirm the current range after reviewing the financials, risks, and comparable transactions.
What records do I need to sell my general contractor?
Prepare three years of tax returns, profit and loss statements, balance sheets, payroll records, customer and contract lists, equipment records, and support for every add-back. Contractors also need a current work-in-progress schedule and backlog report when those records apply.
Will employees and customers know about the sale?
You control who learns about the sale and when. Buyers first receive a blind profile. They sign a non-disclosure agreement and complete a financial review before receiving the company name. Key employees are usually told later in the process under a transition plan.
Do I need to stay after closing?
Most buyers request a transition. The length depends on customer relationships, licenses, management depth, and how much daily work depends on the owner. The transition is negotiated before closing.
What Ohio issues matter in a general contractor sale?
Ohio has no state general contractor license. Columbus general contractor registration needs a $25,000 bond and liability coverage. Residential jobs over $25,000 fall under the Ohio Home Construction Service Suppliers Act. Ohio sales tax clearance, BWC experience transfer, and unemployment successor rules also apply.
How long does it take to sell a general contractor?
Six to nine months from going to market to closing is typical for a prepared company. Financial cleanup, licensing gaps, lease issues, tax clearances, or buyer financing can extend the schedule.