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BIZBITE

Industrial Valve Repair

Tiny parts controlling million-dollar downtime

Bottom line

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

Industrial valve repair companies inspect, rebuild, test, certify, and replace control valves, safety relief valves, steam valves, actuators, and specialty process valves for plants, refineries, utilities, food processors, chemical facilities, and municipal systems. The niche is boring until a valve fails and production stops.

Acquisition score
Margin · multiple · SBA data
54Strong
Avg revenue
$1.2M/yr
$300K–$6M range
Profit margin
25%
~$300K SDE
Multiple
2.2–5.8×
of SDE
Est. buy price
$660K–$1.7M
startup: $75K–$500K

How It Works

Shops receive valves during outages or send field crews on-site, disassemble units, machine or lap seats, replace seals and packing, test pressure, calibrate actuators, document results, and return certified equipment. Revenue comes from shutdown work, emergency repairs, preventive maintenance agreements, parts markup, and recurring certification cycles.

BizBite verdict

Watch / verify

Industrial Valve Repair 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.

54Strong
low data confidence · 40/100medium financing fit

Why it may work

  • No strong positives yet. More verified data needed.

Be careful

  • !Source link status has not been verified yet
  • !No last-checked date yet
  • !No SBA category enrichment yet
  • !No category operating model yet
  • !Low data confidence

Deal Calculator

Priced off $300K SDE — can this deal service its own debt?

1.91×
DSCR · Lender-comfortable
Purchase multiple — 3.6× SDE ($1.1M)
Category range: 2.2×–5.8× SDE
Down payment — 10% ($108K)
SBA minimum equity injection is 10% for change-of-ownership
Interest rate — 10.50%
Typical SBA 7(a) range: 9.5–12% (prime-based)
Loan term — 10 years
Standard SBA 7(a): 10 years for business acquisition
Purchase price
$1.1M
3.6× of $300K SDE
Cash to close
$140K
$108K down + ~3% closing
Debt service
$13K/mo
$157K/yr on $972K loan
Cash-on-cash
102%
cash back in ~12 mo
Debt service coverage · what the lender sees
1.91×+$12K/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.

Pros

  • +Mission-critical equipment supports premium emergency pricing
  • +Plant shutdowns create planned recurring work
  • +Technical specialization limits casual competition
  • +Parts and machining add margin beyond labor

Cons

  • -Requires skilled technicians, test benches, and quality systems
  • -Revenue can cluster around plant outage seasons
  • -Industrial safety and documentation requirements are serious

Best For

Operators with industrial maintenance, machining, instrumentation, or process-equipment backgrounds

Operating Costs

Costs include a shop, service trucks, test stands, machining tools, calibration gear, inventory, insurance, certifications, and skilled labor. Utilization during shutdown seasons and emergency response coverage matter most.

Where to Buy

Damodaran - EV/EBITDA by Sector

Public-market valuation benchmark for industrial and service sector multiples

Equidam - EBITDA Multiples

Industry multiple reference useful for benchmarking lower-middle-market service valuations

BizBuySell - Manufacturing Businesses

Marketplace for industrial repair, machining, and manufacturing service acquisition comps

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