Restoration & Remediation Services in the United States
James Correa
December 2025
Executive Summary
Search Market
Restoration businesses emphasizing revenue diversification between high-margin emergency services and predictable recurring revenue streams
Search Geography
The United States with primary focus on California, Oregon, Washington, Hawaii, Colorado and Utah markets, and secondary focus on the Midwest, Mid-Atlantic, Southeast and Northeast
Ideal Target
Businesses generating >$2M EBITDA with ~>15% profit margins, featuring retiring owners, recurring revenue opportunities and untapped technology potential
Search Strategy
Multi-channel approach combining structured business owner outreach, strategic broker relationships, digital platforms, and targeted networking initiatives
Value Creation
Performance-based "piece pay" compensation, digital transformation, vendor managed inventory systems, and strategic new revenue stream development
Experience Base
Proven expertise from HVAC, plumbing, and electrical management at Apex Service Partners plus home services marketing leadership at Angi; approved Franchisee (see Annex)
Why Restoration?
Leveraging deep expertise in HVAC, plumbing, and electrical services, the search focuses specifically on restoration businesses with compelling market dynamics. Ideal businesses:
  • Balance recurring contract revenue with high-margin emergency services
  • Blend commercial & residential customer bases
  • Maintain capital-efficient operations
Restoration businesses are the primary target due to strong market fundamentals and high potential for value creation through operational improvements and technology adoption.
Market Snapshot
The U.S. has 60,020 restoration businesses (2024). Our target regions (CA, OR, WA, HI, CO, UT) contain 11,020 businesses, driven by a fragmented market structure that creates abundant acquisition opportunities.

Source: IBIS World Damage Restoration Services in the US 2007-2031
Industry Validation Through Franchise Approval
Paul Davis Restoration Approval
Approved as a franchisee for Paul Davis Restoration, a top-tier national brand (#1–#2 in Water/Fire/Mold Recovery).
Overview of Process
Successfully completed Paul Davis's rigorous franchise approval process, validating strong operational, financial, and leadership qualifications. Extensive due diligence was conducted, but the decision was made to pursue a larger, independent acquisition.
Strategic Significance
This provides third-party industry validation, demonstrating alignment with best practices and deep insight into top restoration operator playbooks, enhancing credibility with all stakeholders.
Geographic Focus
Strategic Western United States Markets
Primary
Focus on West Coast markets with high value commercial and residential properties that yield high value tickets. Proximity to extended family on the West Coast is also a consideration.
Secondary
East Coast and select Midwest, Southeast and West markets with desirable metro areas
Will Consider
Will consider Texas and other metro areas in the Midwest.
Not Interested
Open rural areas with poor residential and commercial density and low real estate values
California
Largest market with diverse urban centers and high property values driving premium service demand
Oregon
Growing population centers with strong commercial real estate development and restoration needs
Washington
Robust economy anchored by Seattle metro area with consistent weather-related damage events
Hawaii
Unique island markets with specialized restoration requirements and limited competition
Colorado
Rapidly expanding markets with extreme weather patterns creating steady restoration demand
Utah
Rapidly growing population and diverse climate, from arid deserts to mountain snows, leading to varied restoration service demands.
Example Target Company Analysis
Positive Attributes
  • Strong Profitability: ~$4M EBITDA on ~$15.2M revenue (~26% margin)
  • Multi-Branch Footprint: Regional presence enables operating leverage and CAT response
  • Diversified Customer Base: Residential, healthcare, education, industrial, and government (SDVOSB preference opportunity) clients reduce risk
  • Preferred Vendor Relationships: Established carrier partnerships provide steady claims flow
  • Non-Discretionary Demand + CAT Upside: Recurring claims plus large-loss event opportunities
  • Experienced Team: Operational maturity reduces transition risk
  • Clear Growth Levers: Reconstruction, new service lines, and buy-and-build expansion
Considerations
  • Southeast CAT Exposure: Storm-driven markets add revenue volatility and may obscure underlying normalized earnings.
  • Carrier/TPA Dependency: Preferred vendor status is positive but may create pricing pressure or concentration risk.
  • Competitive Region: Southeast restoration market is crowded with national platforms.
* Research indicates 4.5x to 6.5x for mid-sized operations (EBITDA $2M–$5M) suggesting sale price ranging from $18M to $26M. Full analysis in annex.
Value Creation Roadmap
Growth Strategy for Target Acquisition
Expand Reconstruction & Rebuild Services
Increase attach rates by building out a dedicated reconstruction division (licensed GC, in-house trades, standardized estimating). Captures additional margin, improves job lifecycle control, and significantly increases revenue per loss event.
Introduce New Service Lines to Deepen Wallet Share
Add higher-margin offerings such as environmental testing, biohazard cleanup, commercial maintenance programs, and moisture monitoring. Diversifies revenue beyond insurance claims and supports recurring cash flow development.
Strengthen Commercial & Institutional Channels
Target healthcare, education, industrial, and government clients with priority-response agreements and multi-site contracts. Reduces reliance on residential/TPA leads and increases predictable, year-round demand.
Government Leverage
Maximize Service-Disabled Veteran-Owned Small Business (SDVOSB) certification to secure preferential government contracts
Operational Value Capture
Labor Optimization
Implement HVAC inspired performance-based piece pay compensation aligning technician earnings with productivity, driving both revenue growth and employee satisfaction while creating variable cost structure
Technology Integration
Deploy enterprise-grade CRM systems with automated customer communication workflows to strengthen client relationships, improve retention rates, and enable data-driven account management
Asset Efficiency
Transition to vendor managed inventory and equipment leasing models to preserve working capital, reduce maintenance burden, and maintain fleet flexibility
Recurring Revenue Strategies for Restoration Acquisition
However, I would not recommend proceeding to LOI for Residential and Commercial Restoration Company
Revenue Collapse
$25.9M (2021) → $12.8M (TTM25)
60% drop, no recovery trend
Negative EBITDA
$11.3M (2021) → -$245K (TTM25)
Two years breakeven or worse
Margin Disaster
Gross margin: 59.9% → 34.2%
Far below industry standard
1
Weather-Dependent Profitability
Only profitable during CAT events, not core operations
2
Customer Concentration
51.7% revenue from single referral source (SMB Restore)
3
New Leadership Team
VP Operations hired January 2025 — no proven results
4
Reconstruction Failure
Only 27% conversion rate, 83% mitigation vs 17% reconstruction
5
Overextended Operations
37 techs, 8 PMs across 7 branches — too lean to scale
6
Heavy Franchise Burden
11% royalty on mitigation crushing thin margins
Comprehensive Search Strategy
1
Structured Business Owner Outreach (50%)
Apply data-driven marketing methodology treating owner acquisition as sophisticated conversion funnel with rigorous A/B testing and stage-by-stage performance measurement
  • Deploy intern or virtual assistant resources to build comprehensive databases
  • Leverage AI-powered lead generation platforms like Clay for intelligent lead generation and enrichment
  • Execute multi-channel touchpoint strategy: personalized email campaigns, LinkedIn engagement, targeted phone outreach, and strategic in-person meetings
  • Establish professional Fund brand identity with dedicated website and visual identity emphasizing veteran leadership and blue-collar operational expertise
2
Strategic Broker Relationships (25%)
Proactively cultivate relationships with business brokers and M&A intermediaries in priority markets to ensure deal flow visibility — list of brokers in annex
3
Online Platform Monitoring (15%)
Maintain consistent scanning discipline across digital marketplaces and listing platforms despite time-intensive nature to capture off-market and newly listed opportunities; currently in possession of three Restoration CIMs acquired through this method
4
Targeted Networking (10%)
Build local market presence through Chambers of Commerce, industry-specific social media, and trade associations such as Restoration Industry Association to develop referral networks and market intelligence; attend conferences such as International Restoration Convention & Industry Expo in Savannah, Georgia on April 26, 2026.
Restoration and Home Service Focused M&A Brokers
Top Restoration-Focused M&A Firms & Brokers
Active lower-middle-market advisor specializing in restoration, environmental, biohazard, and reconstruction deals.
Manages restoration and environmental deals ($5M-$50M EV), often representing multi-branch or insurance-preferred vendors.
Middle-market firm experienced in restoration for $3M–$15M EBITDA operators.
Specializes in remediation and environmental services, ideal for $1.5M–$5M EBITDA sellers.
Brokerage Groups Active in Restoration & Mitigation Deals
Focuses on field service and restoration across Southeast, Mid-Atlantic, and Midwest, including disaster recovery and construction.
6. Calder Capital (in contact)
Strong lower-middle-market presence, frequently listing restoration, remediation, and specialty construction firms.
Certain regional offices specialize in restoration businesses for $500K–$3M EBITDA, particularly in the Southeast, Texas, and Pacific Northwest.
Active with restoration, remediation, and environmental testing companies in the $5M–$40M range, with strong market reach.
Industry-Aligned Brokers & Advisors
Niche broker focused solely on restoration, remediation, and cleaning franchises (ServPro, Paul Davis, independents) with deep industry knowledge.
10. Service Leadership / Home Services M&A Boutiques
Several boutique intermediaries frequently handle restoration deals within the broader home services sector, including Raincatcher, The FBB Group, and Morgan & Westfield.
Relevant Professional Experience
Leadership Excellence
Continuous leadership responsibility since 2007, successfully managing organizations exceeding 150 team members while consistently achieving above-average employee Net Promoter Scores
Operational Scale
Proven P&L ownership of $40M business at Metropolis, managed centralized support functions for $330M operations at Apex Service Partners, and demonstrated ability to scale teams from startup to 70+ headcount
Risk Management Expertise
Directed high-stakes air delivery operations in Afghanistan combat environments and navigated complex cash-burn optimization across multiple startup ventures including GA, Metropolis, and Angi
Field Services Foundation
Direct skilled trades industry experience through operational roles at Angi and Apex Service Partners, providing intimate understanding of HVAC, plumbing, electrical, and related service business models
Why James Correa?
Private Equity Discipline
  • Rigorous accountability frameworks
  • Operational efficiency optimization
  • Profitability-focused decision making
  • Field service sector specialization
Startup Agility
  • Innovation-driven mindset
  • Rapid iteration capabilities
  • Resourceful problem solving
  • Technology-forward approach
Military Foundation
  • Battle-tested leadership
  • Unwavering grit and determination
  • Mission-focused resilience
  • Complex logistics expertise
I pride myself in tackling the dirty, dangerous, and difficult challenges others avoid—where significant value awaits capture. Sixteen years of experience from US Army service to skilled trades leadership has prepared me to transform overlooked opportunities into thriving businesses.
Thank you.