Fire & Smoke Damage Restoration
The highest ticket call a homeowner will ever make
Bottom line
Worth studying, but do not buy without strong local proof.
Fire damage restoration companies clean, deodorize, and rebuild properties after fires — typically billing $20,000–$120,000 per job through homeowner insurance. Average job takes 2–8 weeks. Unlike water damage, fire restoration commands premium rates because the work is more complex (soot, structural, odor elimination) and the insurance payout is typically larger. A two-truck operation can generate $1–3M in annual revenue.
Avg Revenue
$1.5M
Profit Margin
28%
Acquisition Multiple
2x - 4x
Startup Cost
$80K - $350K
How It Works
When a fire occurs, homeowners call their insurer and a restoration company (often referred by the adjuster or found on Google). You arrive within hours, scope the damage, and submit a detailed estimate via Xactimate (the industry-standard billing software). Work includes debris removal, soot and smoke cleaning, odor treatment (thermal fogging, ozone), structural drying, and full reconstruction. Insurance pays you directly or releases funds from escrow.
Revenue Range
BizBite underwriting snapshot
Pass for now
Fire & Smoke Damage Restoration has enough high-level data for a first look, but BizBite has not assigned a category-specific operating model yet. Treat the score as preliminary.
Category-level fit before lender-specific diligence.
Weak source data caps the final score.
Why it may work
- +SBA dataset shows 35 recent comparable loans
Be careful
- !Source link status has not been verified yet
- !No last-checked date yet
- !No category operating model yet
- !No category model yet
Real Acquisitions in This Category
SBA 7(a) change-of-ownership loans · NAICS 562910 · Remediation Services
Deal Size Distribution
Deal Flow Over Time
Financing Profile
Recent Comparable Deals
| Closed | State | Loan | Implied deal |
|---|---|---|---|
| Mar 2026 | AZ | $1.8M | $2.1M |
| Mar 2026 | AZ | $150K | $177K |
| Feb 2026 | MD | $2.4M | $2.8M |
| Jan 2026 | VA | $875K | $1.0M |
| Jan 2026 | PA | $1.3M | $1.5M |
| Dec 2025 | NC | $50K | $59K |
| Dec 2025 | NC | $1.0M | $1.2M |
| Dec 2025 | NY | $100K | $118K |
| Dec 2025 | NY | $984K | $1.2M |
| Sep 2025 | IL | $1.2M | $1.4M |
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.
Pros
- +Insurance pays — customers rarely negotiate price
- +Massive job sizes ($20K–$120K average) with few customers needed
- +24/7 emergency response creates first-mover advantage at the job site
- +Repeat insurer relationships generate steady referral flow
Cons
- -Significant upfront equipment investment required
- -Insurance billing (Xactimate) has a steep learning curve
- -Emotionally intense work — clients are in crisis
- -Payment cycles from insurers can be 60–90 days
Best For
Operators with construction or emergency services background and strong project management
Operating Costs
Major costs: restoration equipment (air scrubbers, thermal foggers, HEPA vacuums), vehicle fleet, Xactimate licensing ($200/mo), subcontractor reconstruction costs, and IICRC certification for crew.
SBA Financing Estimator
Adjust the deal — see if it cash flows after debt service
Estimates only. Excludes owner compensation, capex, working capital draws, and taxes. Margin assumes average occupancy and volume. Actual SBA terms vary by lender and borrower profile.
Where to Buy
Find fire and water restoration businesses for sale
Industry body with broker referrals and M&A resources
Acquisition Score
Scores margin (30), entry multiple (25), SBA market depth (20), category risk (15), and deal momentum (10). Higher = better acquisition candidate.
Quick Facts
- Category
- service
- Difficulty
- 4/5
- Buy price
- $3.0M–$6.0M
Buyer's Toolkit
Essential tools to get started
Some links may be affiliate links. We only recommend tools we'd use ourselves.
Ready to Buy? Start Here →
Largest business-for-sale marketplace in the US
SBA loans and business acquisition financing — get funded fast
ROBS financing — use retirement funds to buy a business tax-free
Bookkeeping for small business owners — hands-off financials
Some links may be affiliate links. We only recommend tools we'd use ourselves.
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