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BIZBITE

Mobile Document Shredding

Compliance by the bin, shredded in the parking lot

Bottom line

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

Mobile document shredding routes send secure shredding trucks to offices, medical clinics, law firms, banks, schools, and government customers. Clients pay for recurring locked-console pickups or purge days, and the operator sells peace of mind: confidential records are destroyed on-site with a certificate of destruction.

Acquisition score
Margin · multiple · SBA data
56Strong
Avg revenue
$650K/yr
$180K–$2.2M range
Profit margin
28%
~$182K SDE
Multiple
2–5.8×
of SDE
Est. buy price
$364K–$1.1M
startup: $80K–$450K

How It Works

Operators place locked shred consoles at customer sites, run scheduled pickup routes, shred paper on-site or at a plant, issue certificates, bale the material, and sell recycled paper where possible. Revenue comes from recurring console service, one-time purge jobs, hard-drive destruction, and compliance-heavy accounts.

BizBite verdict

Watch / verify

Mobile Document Shredding 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.

56Strong
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 $182K SDE — can this deal service its own debt?

1.97×
DSCR · Lender-comfortable
Purchase multiple — 3.5× SDE ($635K)
Category range: 2×–5.8× SDE
Down payment — 10% ($64K)
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
$635K
3.5× of $182K SDE
Cash to close
$83K
$64K down + ~3% closing
Debt service
$8K/mo
$93K/yr on $572K loan
Cash-on-cash
108%
cash back in ~12 mo
Debt service coverage · what the lender sees
1.97×+$7K/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

  • +Recurring route revenue from offices and clinics
  • +Compliance needs make switching vendors annoying
  • +Purge jobs create high-ticket bursts
  • +Route density improves margins quickly

Cons

  • -Shredding trucks are expensive and maintenance-heavy
  • -Security processes and chain-of-custody documentation matter
  • -Paper volumes can decline in some office markets

Best For

Route-service, records-management, janitorial, or B2B local-service buyers who can sell trust and reliability

Operating Costs

Costs include shredding trucks or plant equipment, locked bins, drivers, fuel, maintenance, insurance, NAID-style security controls, recycling logistics, uniforms, and sales to offices and professional firms.

Where to Buy

Serif - Paper Shredding Startup Guide

Startup reference citing $50,000-$200,000 initial investment for equipment and vehicles

Gone for Good - Paper Shredding Business

Industry guide highlighting recurring revenue and ROI potential

BizBuySell - Document Shredding Businesses

Marketplace for local B2B service and records-management acquisition comps

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via Serif - Paper Shredding Startup Guide
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