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BIZBITE

Radon Mitigation Service

EPA-mandated, real estate transaction-driven, and almost nobody does it

Bottom line

Accessible entry point; validate local supply before buying.

Radon is the second-leading cause of lung cancer in the US — a naturally occurring radioactive gas that seeps into basements and low floors. The EPA requires testing in most real estate transactions, and when levels exceed 4 pCi/L (approximately 1 in 15 homes nationwide), mitigation is mandatory before closing. That creates a guaranteed, recurring demand source tied directly to real estate sales volume. A residential radon mitigation system installation runs $800–$2,500 and takes 4–6 hours. At 3–5 installs per day, a single technician generates $150K–$350K in annual revenue. Startup costs are among the lowest in the trades — under $20K for a fully equipped operation.

72
Acquisition score
Excellent

Avg Revenue

$280K

Profit Margin

30%

Acquisition Multiple

1.5x - 2.5x

Startup Cost

$15K - $50K

How It Works

The core product is a sub-slab depressurization (SSD) system: a PVC pipe runs from below the concrete slab through the foundation to a fan that vents radon outside. Material cost per install: $150–$400. Labor: 4–6 hours. Price to homeowner: $800–$2,500. That's a 60–70% gross margin per job. Revenue is generated two ways: (1) installation jobs referred by real estate agents, home inspectors, and title companies at transaction close, and (2) testing services ($100–$250 per test) that can be done by any certified technician. The referral network is the moat — once you're embedded with the top 10 real estate agents in a market, a steady flow of mandatory jobs is nearly guaranteed.

Revenue Range

Low End
$120K
Typical
$280K
High End
$600K

BizBite underwriting snapshot

Watch / verify

Radon Mitigation 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.

40
Speculative / 100
Data confidence
medium
52/100
Financing fit
medium

Category-level fit before lender-specific diligence.

Confidence cap
78

Weak source data caps the final score.

Why it may work

  • +Attractive 30% estimated margin profile
  • +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

Deals tracked
92
35 in last 24 mo
Median loan
$753K
$250K–$1.7M p25/p75
Implied deal size
$885K
median · ~85% LTV
Charge-off rate
not enough resolved loans

Deal Size Distribution

<$150K
15
$150K–500K
23
$500K–1M
18
$1M–2M
16
>$2M
20

Deal Flow Over Time

12-month momentum
+18.8%
deal volume vs prior 12 mo
Median loan Δ
+96.8%
19 recent · 16 prior

Financing Profile

Median rate
9.50%
0% fixed · last 24 mo
Median term
120 mo
standard 10-yr
Collateralized
0%
of loans secured
Median jobs
12
supported per deal
Top lenders in this space
Live Oak Banking Company32
Byline Bank9
First Internet Bank of Indiana4
BayFirst National Bank3
City National Bank2
Where deals happen
CA17
FL9
NC8
IN6
TX5
IL5
AL4
MA4
GA4
NY4
Franchise vs independent
Franchised acquisitions finance at $781K median vs $606K for independents — a +29% franchise premium. Franchises make up 39% of deals tracked.

Recent Comparable Deals

ClosedStateLoanImplied deal
Mar 2026AZ$1.8M$2.1M
Mar 2026AZ$150K$177K
Feb 2026MD$2.4M$2.8M
Jan 2026VA$875K$1.0M
Jan 2026PA$1.3M$1.5M
Dec 2025NC$50K$59K
Dec 2025NC$1.0M$1.2M
Dec 2025NY$100K$118K
Dec 2025NY$984K$1.2M
Sep 2025IL$1.2M$1.4M
Volume rank #80/544Deal-size rank #240/544Momentum rank #102p90 loan: $3.4MData 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

  • +Mandatory EPA requirement tied to real estate — not discretionary spending
  • +Lowest startup cost in the trades — $15K–$50K gets you fully operational
  • +High gross margin per job (60–70%)
  • +Referral network is sticky once established with real estate agents and inspectors
  • +Virtually no national franchise competition in most local markets

Cons

  • -Revenue tied to real estate transaction volume — slows in housing downturns
  • -State certification required in most states (training is short, typically 1–2 days)
  • -Seasonal slowdown in cold climates when real estate activity drops
  • -Limited ticket size — average job is $1,500, not $10,000

Best For

Skilled tradespeople looking for a low-capital entry into a mandated services niche; investors with real estate agent relationships in high-radon markets (Midwest, Mid-Atlantic)

Operating Costs

Main costs: materials per job ($150–$400), van/truck, state certification maintenance, and marketing. COGS runs ~35% of revenue including materials and direct labor. After overhead, net margins of 25–35% are achievable at modest scale.

SBA Financing Estimator

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

$-2789/mo
after debt service
Deal price — $890K
Range: $280K (1.5×) to $980K (2.5×+)
Down payment — 15% ($134K)
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
$134K
15% equity injection
Loan amount
$757K
85% SBA-financed
Monthly payment
$10K/mo
$418K total interest
Monthly profit
$7K/mo
at 30% margin
Monthly cash flow after debt service
$-2789/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.

Where to Buy

BizBuySell

Find environmental and remediation businesses for sale

National Radon Defense

Franchise network for radon mitigation — turnkey dealer programs available

AARST-NRPP

National Radon Proficiency Program — certification directory and industry resource

72/100Excellent

Acquisition Score

Profit margin
20/30
Entry multiple
29/25
Market depth
5/20
Risk (charge-off)
8/15
Deal momentum
10/10

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
2/5
Buy price
$420K$700K

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