Business Valuation Services for HVAC, Electrical and Renewables Contractors
Know what your business is worth today, what is holding the number back and what could move it. A valuation built on adjusted earnings and UK market data, read alongside how the business actually runs.
Valuation is the scoreboard for the whole business
Where You Stand TodayValue is not set on the day a buyer arrives. It is set by how work is priced, who holds the client relationships, how much revenue renews without being re-won, and whether the business runs without the owner in every decision. A valuation shows where the business stands on each of these today.
For owners weighing their next move
Who It Is ForOwners of £1M–£50M HVAC, electrical contracting and renewables businesses use a valuation when they are planning a sale, a management buyout or an employee ownership trust, bringing in investment, or simply want to know where they stand. There does not need to be a transaction on the table. Where a transaction needs a formal independent valuation, such as for an employee ownership trust or for tax purposes, that is commissioned separately.
Much of what moves a valuation, from contracted revenue to management depth, takes time to build. Knowing the number early leaves time to change it.
How a contracting business is valued
How It WorksContracting businesses at the larger end of this range are typically valued on a multiple of adjusted, maintainable EBITDA: the earnings a new owner could expect once owner pay, dividends taken in place of salary and related-party costs such as property rent are restated to market rates, and one-off items are removed. For smaller owner-run firms, total owner earnings or net assets can carry more weight, and the valuation states which basis it uses and why. The multiple is benchmarked against UK transaction data and market surveys for comparable businesses.
Two contractors with the same turnover can be valued very differently. Revenue mix, customer concentration, owner dependency and the quality of the numbers all affect where in the range a business sits. The sector guides on what an HVAC business is worth and what an electrical contracting business is worth set this out in more detail, and the business valuation methods article compares the main approaches.
What the valuation looks at
Understanding ValueEvery valuation reads two things side by side: what the business earns, and how safely those earnings would transfer to a new owner.
Financial Valuation
Focus: Adjusted earnings, restated from the statutory accounts.
Primary driver: EBITDA, the “what”.
Risk assessment: Quality of the numbers, debt and working capital.
Outcome: An enterprise value range, and what it means for equity after debt, cash and working capital.
Operational Valuation
Focus: Management depth, systems and how work is priced and delivered.
Primary driver: Where the multiple sits within the range, the “how”.
Risk assessment: Owner dependency, customer concentration and accreditations held by individuals.
Outcome: Where in the range the business sits, and why.
How the valuation is used to raise the value
Higher earnings raise value directly. Reducing the risks a buyer prices in can also improve the multiple applied to those earnings. That is why the valuation comes with the operational changes that could move it.
The result is a value range at a stated date, with the basis and assumptions used, the factors holding it back, and a prioritised list of changes that could increase it. The Value & Exit Readiness work then puts those changes in place.
A buyer is paying for the certainty that earnings will continue and grow under new ownership. That certainty is built from documented, repeatable operations.
A valuation is an opinion of value at a stated date. It is not an offer or a guaranteed sale price.
Request a business valuation
Start HereTell us about your business and what you want the valuation for. Scope, timing and fee are agreed before any work starts.