Key risk flags when buying an Electrical B2B company

searcher profile

March 05, 2026

by a searcher from Columbia University in Philadelphia, PA, USA

I am looking at an Electrical business that has been around for ~60 years. What should I be watching out for? Warmly, Mack
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commentor profile
Reply by an investor
from New York University in Charlotte, NC, USA
Top 3 things that come to mind are: 1. Revenue quality. % recurring service/maintenance vs % project based. Within project based, try to get a sense for what’s discretionary vs non-discretionary spend. 2. Customer concentration. 3. Union vs non-union composition of employee/contractor base.
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