Hydrovac Excavation
The $500K-a-truck business that digs up America's buried infrastructure
Bottom line
Worth studying, but do not buy without strong local proof.
Hydrovac excavation uses pressurized water and a vacuum system to safely expose underground utilities without risk of hitting gas lines, fiber, or electrical conduits. Every construction project near utilities is legally required to use safe digging methods — and hydrovac is the gold standard. A well-run truck generates $300K–$500K/year, and a 3-truck operation can generate $1M+ with one operator-manager. The global market is growing at 5%+ CAGR as infrastructure spending accelerates.
How It Works
Contractors, utilities, and municipalities hire hydrovac companies to expose underground lines before digging. Jobs are charged by the hour ($250–$500/hr) or by the project. Trucks can run 2,000+ billable hours per year in active markets. Government infrastructure contracts provide recurring, predictable revenue.
BizBite verdict
Watch / verify
Hydrovac Excavation 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.
Why it may work
- +SBA dataset shows 46 recent comparable loans
Be careful
- !Source link status has not been verified yet
- !No last-checked date yet
- !No category operating model yet
SBA 7(a) data
Real acquisitions in this category
Change-of-ownership loans · NAICS 238910 · Site Preparation Contractors
Deal size distribution
Deal flow over time
Financing profile
Recent comparable deals
| Closed | State | Loan | Implied deal |
|---|---|---|---|
| Mar 2026 | FL | $734K | $864K |
| Feb 2026 | CO | $2.7M | $3.1M |
| Feb 2026 | SC | $5M | $5.9M |
| Dec 2025 | WA | $1.6M | $1.9M |
| Dec 2025 | NJ | $1.1M | $1.2M |
| Dec 2025 | WI | $1.4M | $1.6M |
| Nov 2025 | NY | $400K | $471K |
| Nov 2025 | NY | $3.1M | $3.7M |
| Sep 2025 | IN | $600K | $706K |
| Sep 2025 | AR | $150K | $177K |
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.
Deal Calculator
Priced off $196K SDE — can this deal service its own debt?
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.
Pros
- +Mandatory compliance work — contractors cannot legally skip it
- +Infrastructure spending tailwind drives long-term demand
- +High hourly rates with government and utility contracts
- +Competitive barrier: equipment cost keeps casual entrants out
Cons
- -Truck cost of $400K–$700K new creates capital requirement
- -Maintenance-intensive equipment with high downtime risk
- -Requires CDL drivers and specialized operator training
Best For
Operators with civil construction experience or existing relationships with utilities and contractors
Operating Costs
Operating costs run $100K–$200K per truck per year: fuel, maintenance, insurance, CDL driver wages, and disposal fees for excavated material.
Where to Buy
Find excavation and hydrovac businesses for sale
Browse excavation company acquisitions nationwide
Buyer's Toolkit
Essential tools to get started
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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
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