Score the market, underwrite the deal, and get a straight answer on whether to keep talking to the seller, plus how to negotiate if you do.
Use drive-time zones, not a radius. A crew loses money past about an hour each way. For an acquisition, draw the zone from the target's real job addresses.
Owner-occupied homes (Census ACS B25003) ÷ average roof life = yearly replacements. Plan on normal years and treat storms as upside.
Score × weight, out of 100. Any factor scored 1 vetoes the market whatever the total. Add a note on the evidence behind each score.
Tick a step once its research is done, not when you've guessed at it.
Name it something you'll recognize in the saved list.
SDE is the cash one owner-operator takes out. You'll put a manager in the seat, so the number that pays the loan is SDE minus that salary. Make the seller prove every add-back.
Rough roofing ranges: small owner-run roofers 2–4× SDE; mid-market with commercial mix 4–6× EBITDA; storm-heavy operators trade at a discount.
Total project = offer + closing costs + working capital. The SBA 7(a) loan covers whatever equity and the seller note don't. A seller note on full standby makes no payments during the SBA term and can cover up to half of the 10% injection.
Assume the seller's numbers are optimistic or the owner's relationships walk. How much earnings can you lose and still make the payment?
The things that decide whether the earnings survive the handoff. Tick what you've confirmed, not what the seller said. Unticked items become your questions on the Summary and Negotiate tabs.
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Built from the diligence items you haven't confirmed. Ask them in this order. The easy, legacy-focused ones come first.
One point per line. These are added to the pros and cons above.
Saved in this browser only. Other people and other devices won't see them.
Computed from the Deal tab. Walk-away is the lowest of three numbers: the price that still covers debt at 1.5× with a hired manager, the top of your valuation range, and their asking price. Don't cross it.
The seller usually cares more about the headline price than about when it's paid. Each row shows what the seller gets and whether the business can still carry it.
Price comes up late. By the time it does, you want the seller already picturing you as the successor.
From the diligence screen. Each one is something to verify, and possibly a point of leverage in the negotiation.
Pre-tax screening math, not lending, legal or investment advice. Payments assume monthly amortization. SBA equity rule shown as of SOP 50 10 8: at least 10% of total project, and a standby seller note can count for up to half. Confirm current terms with your lender and attorney, and rebuild earnings from tax returns and a QoE before relying on any number here. Everything you enter stays in this browser.