I am looking at a Managed Service Provider (MSP) for a potential acquisition and I am seeking some feedback and any reaction froom those who have transacted or heavily looked at businesses in this space. Some contours around the deal itself is below:

- ~$1m in SDE at about 30% sde margins.
- Clients are smb's primarily focused in professional services and construction
- Service offerings are managed services, SaaS, managed security, Backup, consulting, and hardware/software sales
- 70% of revenue is recurring

I am continuously looking to educate myself about this space and what a good acquisition target looks like. I will be using an SBA 7(a) loan as well, and believe a valuation should be around 4-5x, but would like some context on this as well.

I would love to get feedback and or a reaction to the above. Any and all feedback is extremely helpful. Thank you in advance!

If anyone would like to chat further about this space, my email is --@----.com