How much does a Fire Protection / Extinguisher Service cost to buy?

A typical Fire Protection / Extinguisher Service sells for 2.5x to 5x seller's discretionary earnings. With estimated SDE of $105K, expect to pay roughly $263K to $525K before adjustments for assets, debt, growth, and local market quality.

How much does it cost to start a Fire Protection / Extinguisher Service?

Startup costs range from $20K to $150K depending on location, equipment, and scale.

Route

Fire Protection / Extinguisher Service

Q: What are the profit margins for a Fire Protection / Extinguisher Service?

The average profit margin for a Fire Protection / Extinguisher Service is around 35%. Costs include vehicle fuel and maintenance, recharge chemicals, replacement inventory, technician wages, licensing, and insurance. Labor is the primary cost when scaling beyond owner-operator.

Compliance-mandated revenue, year after year

Bottom line

Worth studying, but do not buy without strong local proof.

Fire protection services inspect, maintain, and recharge fire extinguishers and suppression systems for commercial buildings. Fire code requires annual inspections — making this a compliance-driven recurring revenue business. Routes of 500+ accounts generate strong, predictable income.

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Acquisition score

Strong

Avg Revenue

$300K

Profit Margin

35%

Acquisition Multiple

2.5x - 5x

Startup Cost

$20K - $150K

How It Works

You visit commercial properties annually to inspect fire extinguishers, emergency lights, and suppression systems. Failed units are recharged, repaired, or replaced. Inspections are required by fire code, so customers must comply. You bill per extinguisher/device inspected, typically $15-$40 each.

Revenue Range

Low End

$100K

Typical

$300K

High End

$800K

BizBite underwriting snapshot

Watch / verify

Fire Protection / Extinguisher Service 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.

Fair / 100

Data confidence

medium

52/100

Financing fit

medium

Category-level fit before lender-specific diligence.

Confidence cap

Weak source data caps the final score.

Why it may work

+Attractive 35% estimated margin profile
+SBA dataset shows 269 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 238220 · Plumbing, Heating, and Air-Conditioning Contractors

Deals tracked

724

269 in last 24 mo

Median loan

$711K

$299K–$1.6M p25/p75

Implied deal size

$836K

median · ~85% LTV

Charge-off rate

—

not enough resolved loans

Deal Size Distribution

<$150K

$150K–500K

217

$500K–1M

151

$1M–2M

154

>$2M

130

Deal Flow Over Time

12-month momentum

-21.9%

deal volume vs prior 12 mo

Median loan Δ

+44.7%

118 recent · 151 prior

Financing Profile

Median rate

9.50%

14% fixed · last 24 mo

Median term

120 mo

standard 10-yr

Collateralized

of loans secured

Median jobs

supported per deal

Top lenders in this space

Live Oak Banking Company167

The Huntington National Bank51

First Internet Bank of Indiana23

Old National Bank14

Byline Bank13

Where deals happen

FL83

TX64

CA53

PA41

MI32

CO32

WI31

NC27

OH26

IL26

Recent Comparable Deals

Closed	State	Loan	Implied deal	Jobs	Franchise
Mar 2026	MI	$1.8M	$2.1M	10	—
Mar 2026	FL	$700K	$824K	8	—
Mar 2026	NE	$800K	$941K	16	—
Mar 2026	WI	$284K	$334K	5	—
Mar 2026	PA	$1.3M	$1.5M	9	—
Mar 2026	TX	$175K	$206K	9	—
Mar 2026	PA	$75K	$88K	9	—
Mar 2026	TX	$1.3M	$1.5M	9	—
Mar 2026	LA	$320K	$376K	6	Benjamin Franklin Plumbing
Mar 2026	WI	$1.2M	$1.4M	6	—

Volume rank #7/544Deal-size rank #263/544Momentum rank #243p90 loan: $2.8MData 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.

Pros

+Compliance-driven — customers legally must have annual inspections
+Very high customer retention (95%+)
+Scales with routes — add technicians and trucks
+Additional revenue from installations and replacements

Cons

-Requires state licensing and certifications
-Route building is slow initially
-Some seasonal concentration in inspection renewal months

Best For

Route-builders who want compliance-driven recurring revenue with minimal churn

Operating Costs

Costs include vehicle fuel and maintenance, recharge chemicals, replacement inventory, technician wages, licensing, and insurance. Labor is the primary cost when scaling beyond owner-operator.

SBA Financing Estimator

Adjust the deal — see if it cash flows after debt service

$-489/mo

after debt service

Deal price — $840K

Range: $600K (2.5×) to $1.8M (5×+)

Down payment — 15% ($126K)

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 (120 mo)

SBA median for this category: 120 months

Down payment

$126K

15% equity injection

Loan amount

$714K

85% SBA-financed

Monthly payment

$9K/mo

$395K total interest

Monthly profit

$9K/mo

at 35% margin

Monthly cash flow after debt service

$-489/mo

Margin does not cover debt service at these terms. Lower the deal price, increase the down payment, or extend the loan term.

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.