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BIZBITE

Concrete Cutting & Core Drilling

Specialty subcontracting with diamond tools and high ticket jobs

Bottom line

Accessible entry point; validate local supply before buying.

Concrete cutting and coring companies provide slab sawing, wall sawing, wire sawing, and core drilling for construction and renovation projects. Contractors hire them to create clean openings for plumbing, HVAC, electrical, doors/windows, and structural modifications without overbreaking or damaging surrounding concrete. The work is specialized, safety-critical, and often priced per linear foot or per hole, which supports strong unit economics when crews stay busy.

Acquisition score
Margin · multiple · SBA data
55Strong
Avg revenue
$750K/yr
$250K–$2.5M range
Profit margin
25%
~$188K SDE
Multiple
2–3.5×
of SDE
Est. buy price
$375K–$656K
startup: $15K–$100K

How It Works

Build relationships with general contractors, plumbers, electricians, and restoration firms. Jobs are scheduled around other trades, then a crew arrives with saws/drills, dust and slurry control, and safety controls. Pricing is commonly per cut/per hole with minimum mobilization fees, plus extras for rebar, depth, access, and off-hours work. Scale comes from adding crews, improving dispatch, and focusing on repeat GC accounts.

BizBite verdict

Watch / verify

Concrete Cutting & Core Drilling maps to the Concrete Cutting & Core Drilling model. The category can work for acquisition buyers, but the right answer depends on source freshness, verified economics, and the specific red flags below.

55Strong
medium data confidence · 72/100medium financing fit

Why it may work

  • +SBA dataset shows 46 recent comparable loans
  • +5 clear operating upside levers identified

Be careful

  • !Source link status has not been verified yet
  • !No last-checked date yet

Category operating model

Concrete Cutting & Core Drilling

medium labor
medium capex
medium owner

Revenue drivers

  • Crew days sold for slab sawing, wall sawing, hand sawing, core drilling, and selective demolition support
  • Minimum mobilization fees plus per-foot/per-hole pricing adjusted for depth, rebar, access, water/slurry control, and off-hours work
  • Repeat relationships with GCs, plumbers, electricians, restoration firms, DOT/civil contractors, and plant maintenance teams
  • Operator and equipment availability when the job blocks another trade on the critical path
  • Ability to document silica, slurry, traffic, and safety controls so larger GCs will keep calling

Key risks

  • Silica, slurry, noise, and site-safety failures can remove the company from GC bid lists
  • Expensive saws can look impressive while needing immediate motors, tracks, blades, or truck repairs
  • Owner-controlled GC relationships may not transfer
  • Construction-cycle exposure and weather can crush utilization
  • A business booked on low minimums becomes a collection of hard jobs with no margin

What you need to believe

  • The company is paid for mobilization, complexity, and standby, not just linear feet
  • Crew leaders can run safely without the seller babysitting every job
  • Equipment condition supports the advertised revenue without a post-close capex bill
  • GC and trade relationships transfer because reliability is process-driven
  • The local construction base has enough repeat work to keep crews utilized through cycles

Unit economics

How one unit makes money

Modeled per one two-crew specialty cutting shop with trucks, saws, core rigs, slurry controls, and repeat GC/trade accounts. Every line shows its arithmetic — rebuild any number yourself.

Revenue build-up

LineLowBaseHigh
Slab/wall sawing and selective cutting crew days2 crews × 3.5 paid days/week × 44 weeks × ~$1,475 average crew-day invoice; high case adds utilization and larger commercial jobs$150K$455K$1.5M
Core drilling and small mobilization jobs325 hole/mobilization tickets × ~$600 average; minimums matter more than the hole itself$60K$195K$600K
Off-hours, standby, slurry, depth/rebar, and specialty addersabout 15% of base cutting revenue when contract terms actually bill the pain points$40K$100K$400K

Where it goes — cost structure

  • Operator/helper labor and payroll burden2838%

    A concrete cutter is not generic labor; safety, precision, and site judgment are the product.

  • Diamond blades, core bits, slurry/water, PPE, consumables816%

    Consumables are paid per inch of concrete but too often quoted as if every slab cuts clean.

  • Equipment, trucks, repairs, fuel, and replacement reserve1017%

    A saw fleet can hide a six-figure repair queue; normalize reserve even when the machines run today.

  • Insurance, safety, software, bidding, and admin59%

    GC prequalification is part of the cost structure because one safety lapse can remove future revenue.

  • Travel, setup loss, bad debt, and unpaid standby510%
SDE margin · low
12%
SDE margin · base
25%
SDE margin · high
32%

What actually swings the deal

  • Paid crew days per week

    +0.5 paid days/week across 2 crews × 44 weeks × $1,475 ≈ +$65K revenue before extra consumables

  • Minimum mobilization discipline

    +$100 on 325 small jobs ≈ +$32.5K revenue, usually high-margin because the truck already rolled

  • Blade/bit consumption

    a 4pt consumables miss on $750K revenue is a $30K SDE leak that will not show up in revenue reports

  • Unbilled standby/access delays

    one unpaid 2-hour delay/week per crew at a $175/hr effective rate ≈ −$31K annual revenue capacity

Benchmarks to memorize

SBA median implied acquisition deal~$1.07M, 114 in-repo change-of-ownership loans
Median SBA jobs supported11.5
Profile midpoint margin25% SDE
Core operating hazardrespirable crystalline silica exposure must be controlled
The ceiling

Two crews working 4 paid days/week for 46 weeks at $1,500/day produce roughly $552K before coring and adders. Pushing past ~$1M requires either higher specialty tickets or another crew, not motivational dispatching.

Market analysis

Who owns these & where demand comes from

Fragmented specialty subcontracting. The broad SBA proxy shows 114 change-of-ownership loans and a ~$1.07M median implied deal, but concrete cutting itself is usually bought as a local crew/equipment/reputation package rather than a software-like platform.

Tailwinds

  • Aging building stock keeps renovation cutting demand alive even when new construction slows
  • OSHA silica enforcement rewards documented controls and professional equipment
  • Trades prefer reliable subs because a missed cut can stop plumbers, electricians, and concrete finishers at once

Headwinds

  • Construction cyclicality and weather hit utilization quickly
  • Safety, insurance, and worker availability make scaling slower than adding saws
  • General contractors can squeeze commodity flat-sawing unless the operator owns specialty capability or response time

Demand drivers

  • Commercial renovations and tenant improvements that need clean openings for MEP trades
  • Infrastructure, utility, restoration, and plant-maintenance work where controlled cutting avoids structural damage
  • GC/trade relationships because cutters are called when schedules are already tight
  • Silica/slurry compliance pressure that pushes serious contractors away from casual jackhammer work

Regulation

The practical rulebook is OSHA silica, site safety, noise, slurry disposal, traffic control, and customer prequalification. Regulation is not a license moat, but it is a professionalism moat.

Who you bid against

Buyers include local specialty contractors, searchers who like asset-backed trades, and adjacent concrete/demo operators. Strategic buyers pay for crew density and GC lists; first-timers overpay for shiny equipment and forget utilization.

Competitive advantage

What protects the good ones

  • strongGC/trade relationships and response reliability

    The cutter gets called when another trade is waiting. Reliability beats a slightly cheaper per-foot quote.

  • moderateSpecialized equipment and trained operators

    Diamond tools are buyable; operators who cut clean, manage slurry, and avoid safety drama are scarcer.

  • moderateSafety/compliance record

    GC prequalification and silica controls keep sloppy competitors off better jobs.

  • weakRoute/dispatch density

    Helpful within a metro, but job sites move and the real moat is account trust plus scheduling discipline.

Who wins — and who loses

The winner has two or more trained crews, clean equipment logs, minimums that charge for mobilization, and GC relationships that value schedule certainty. The loser owns expensive saws, bids by the foot, eats access delays, and discovers that diamond blades are not a moat when every project manager views him as interchangeable.

How this niche degrades

  • Construction slowdown reduces crew utilization within months
  • Insurance or safety incidents can remove the company from qualified-bid lists immediately
  • Equipment failures create double damage: repair cost plus missed scheduled work
  • Adjacent demolition/concrete contractors can self-perform commodity cuts when specialty quality is not required
Consolidation status

Low to moderate. Regional specialty contractors may buy density, but most small shops remain founder-led. The acquisition window is finding safe crews with repeat GC work before the seller retires or equipment ages out.

SBA 7(a) data

Real acquisitions in this category

Change-of-ownership loans · NAICS 238910 · Site Preparation Contractors

Deals tracked
114
46 in last 24 mo
Median loan
$908K
$350K–$1.9M p25–p75
Implied deal size
$1.1M
median · ~85% LTV
Charge-off rate
not enough resolved loans

Deal size distribution

<$150K
9
$150K–500K
27
$500K–1M
22
$1M–2M
28
>$2M
28

Deal flow over time

12-month momentum
−16.0%
deal volume vs prior 12 mo
Median loan Δ
+80.9%
21 recent · 25 prior

Financing profile

Median rate
9.50%
9% fixed · last 24 mo
Median term
120 mo
standard 10-yr
Collateralized
0%
of loans secured
Median jobs
11.5
supported per deal
Top lenders in this space
Live Oak Banking Company13
The Huntington National Bank6
Old National Bank5
T Bank, National Association4
Columbia Bank4
Where deals happen
CO10
MA9
NY8
MO7
NJ7
FL6
WA6
TX5
OH5
ID5

Recent comparable deals

ClosedStateLoanImplied deal
Mar 2026FL$734K$864K
Feb 2026CO$2.7M$3.1M
Feb 2026SC$5M$5.9M
Dec 2025WA$1.6M$1.9M
Dec 2025NJ$1.1M$1.2M
Dec 2025WI$1.4M$1.6M
Nov 2025NY$400K$471K
Nov 2025NY$3.1M$3.7M
Sep 2025IN$600K$706K
Sep 2025AR$150K$177K
Volume rank #63/544Deal-size rank #184/544Momentum rank #228p90 loan: $3.2MData as of Mar 2026

Source: SBA 7(a) FOIA dataset, filtered to acquisitions (loans where business age is "Change of Ownership"). Implied deal size assumes an 85% loan-to-purchase ratio, a common SBA change-of-ownership structure. Charge-off rate shown only when 10+ loans have resolved (paid in full or charged off). Interest rates reflect last 24 months only. Actual deal values vary with equity injections, seller financing, and working capital terms.

Valuation framework

How these actually get priced

Valued on normalized SDE with explicit adjustments for equipment debt/condition, operator transferability, safety record, and customer concentration. The equipment creates a floor, but the premium is earned by documented utilization and repeat GC/trade accounts.

Basis: SDE

What moves the multiple

  • ▲ PremiumCrew utilization and repeat commercial accounts

    A booked, repeat GC base supports the top of the range.

  • ▼ DiscountEquipment condition and debt

    Immediate saw/truck/rig repairs should reduce price dollar-for-dollar before applying a multiple.

  • ▲ PremiumSafety/prequalification record

    Clean OSHA, insurance, and GC credentialing expands the buyer pool.

  • ▼ DiscountSeller-owned dispatch/customer relationships

    If the phone stops ringing when the seller exits, trailing SDE is not transferable.

Worked example

At the BizBite midpoint, $750K revenue × 25% SDE margin = ~$187.5K SDE. Applying the 2.0x-3.5x range gives roughly $375K-$656K of value. A buyer should then subtract imminent equipment repairs and debt-like leases; a clean two-crew shop with recurring GC accounts and billed standby can justify the high end.

Common buyer mistakes

  • Paying for equipment at book value while also capitalizing the SDE it produced
  • Ignoring blade/bit consumption and slurry controls in job margins
  • Treating owner dispatch and customer calls as free labor
  • Underwriting annual revenue without a utilization-by-week view through construction cycles

Deal Calculator

Priced off $188K SDE — can this deal service its own debt?

2.61×
DSCR · Lender-comfortable
Purchase multiple — 2.8× SDE ($515K)
Category range: 2×–3.5× SDE
Down payment — 10% ($52K)
SBA minimum equity injection is 10% for change-of-ownership
Interest rate — 9.50%
SBA median for this category: 9.5%
Loan term — 10 years
SBA median for this category: 120 months
Purchase price
$515K
2.8× of $188K SDE
Cash to close
$67K
$52K down + ~3% closing
Debt service
$6K/mo
$72K/yr on $464K loan
Cash-on-cash
173%
cash back in ~7 mo
Debt service coverage · what the lender sees
2.61×+$10K/mo after debt
Most SBA lenders want ≥1.25× coverage; 1.5×+ is a strong file.

SDE = revenue × margin estimate for this niche; it includes owner compensation, so budget your salary out of cash flow. Excludes working-capital injection, capex reserves, and taxes. Actual SBA terms vary by lender and borrower.

Due diligence checklist

Before you sign anything

  1. 01

    Rebuild 24 months of jobs by crew day, cut type, feet/holes, invoice, labor hours, consumables, travel, standby, and margin.

    This verifies utilization, minimums, blade/bit sensitivity, and whether the profile margin is real.

    Red flagRevenue is high but small jobs and unpaid delays produce weak crew-day gross margin.
  2. 02

    Inspect every saw, core rig, truck, trailer, vacuum, generator, and major tool with maintenance logs and lease/debt schedule.

    Equipment reserve is one of the largest sensitivities and affects price directly.

    Red flagOld machines, missing logs, or seller language like "it just needs a tune-up" around core assets.
  3. 03

    Audit OSHA/silica program, training records, respirator/PPE logs, insurance loss runs, and GC prequalification files.

    Safety compliance is a revenue gate in this niche, not a nice binder.

    Red flagNo written exposure-control plan or recent incidents that key customers do not know about yet.
  4. 04

    Call top GCs, plumbers, electricians, and restoration accounts about response time and who they trust.

    This tests customer transferability and relationship moat.

    Red flagCustomers identify the seller personally as the reason they call.
  5. 05

    Compare contract terms to invoices for minimums, standby, off-hours, travel, slurry, and depth/rebar adders.

    The difference between quoted complexity and collected complexity decides SDE.

    Red flagAdders exist on the rate sheet but rarely make it onto invoices.
  6. 06

    Map weekly crew utilization against local construction permits/backlog and weather periods.

    A buyer needs to know whether revenue is repeatable or cycle-peaked.

    Red flagThe last twelve months were driven by one project, one GC, or a temporary construction surge.

Pros

  • +Specialized trade with less competition than general contracting
  • +High utilization drives strong margins (minimum fees + per-unit pricing)
  • +Repeat work from GC's and trades once you're trusted
  • +Scales with crews and dispatcher ops, not owner charisma

Cons

  • -Safety and compliance burden (silica, noise, fall hazards, rigging)
  • -Equipment is expensive and consumables (blades/bits) add up
  • -Demand is tied to construction cycles and project timing

Best For

Operators with construction experience who run tight safety systems and scheduling

Operating Costs

Major costs include skilled labor, trucks/trailers, insurance, equipment payments, blade/bit consumables, maintenance, and dust/slurry control. Aug 17, 2026 recheck: BoringRiches' concrete-cutting model shows a lean $10K-$40K equipment-led startup, $10K-$25K monthly revenue, and $150-$400/hour billing, while Peak Business Valuation's concrete-company comps cite roughly 2.23x-3.03x SDE. BizBite keeps the $250K-$2.5M revenue range for multi-crew/core-drilling shops, narrows startup cost to $15K-$100K for a realistic small launch, and keeps 25% SDE margin / 2.0x-3.5x range because equipment condition, GC concentration, and owner dependence drive the spread.

Where to Buy

BizBuySell

Search concrete cutting, sawing, coring, and specialty contractor listings

BizQuest

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BusinessBroker.net

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