INDUSTRIES
CII Advisors work closely with owners of great businesses across all industries.
These are some of the top industries on the radars of strategic buyers and private equity groups today.
Index (A to Z)
AVIATION
Florida leads the nation in the number of aviation support service businesses and accounts for almost 15% of all such businesses in the United States. Aviation support service businesses are a specialty niche and an incredibly important driver of local economies in states like Florida with major international airports and smaller regional airports with businesses providing MRO services, catering, aircraft rental, flight instruction, fueling, tie-down, parking and other services. Florida is also home to several manufacturers of aircraft and parts, as well as providers of services for both in-flight and ground operations.
BOATING
Boating and marine support service businesses are another major driver of economic activity and employment in states like Florida with ample coastline, inland waterways, commercial ports and recreational marinas. Boat building businesses cover the waterfront in terms of size and specialty ranging from personal watercraft to sportfishing boats to megayachts. Marine support service businesses are primarily engaged in navigation services, marine cargo handling and port operations services. Florida leads the nation in the number of both types of businesses accounting for 21% of all firms nationwide. Over one million registered boats generate $31 billion for Florida’s economy annually.
EDUCATION
Key targets in the education arena include online learning platforms that provide flexible education solutions to a global audience, from K-12 to adult learners, as well as EdTech companies that offer tools for classroom management, personalized learning, and assessments, enhancing the overall educational experience. Vocational and technical training companies are in high demand due to the rising need for skills-based education and workforce development. Additionally, private equity firms are purchasing tutoring and test preparation businesses that help students achieve academic success and secure spots in competitive programs.
HEALTHCARE
Healthcare merger and acquisition deal values topped $29 billion in 2023, and North America remains the world’s number one region in terms of healthcare deal valuations. The sector is comprised of 1.8 million businesses nationwide engaged in medical equipment and supplies distribution, biopharma distribution, IT services, as well as food, laundry and janitorial services. As the country’s elderly population grows and physicians request more exams and treatments, employment in the U.S. healthcare sector is forecast to grow by 12% by 2031. Florida is home to 90,000 healthcare businesses, and 24% of the state’s population will be over 65 by 2030.
HOME SERVICES
Desirable businesses in the home services arena cover a wide range of specialty contractor services needed during new construction; renovation and remodel of existing homes and condominiums, as well as cleaning; restoration and remediation of properties damaged by fire, floods and hurricanes. Specialty contractors providing home services like drywall, fencing, garage doors, home entertainment systems, interior/exterior painting, pools & spas, pavers, security systems, smart home solutions, and specialty carpentry are all in demand given the essential nature of these businesses, their above average margins, and the fragmented nature of these industries which are prime for consolidation and growth.
HVAC
Always in high demand, the HVAC sector generates over $210 billion in sales annually with the highest concentrations of these businesses located in The Big 3 of Florida, California and Texas where warm weather means year-round demand. Single family home service providers make up 20% of the industry, while commercial and industrial players operate in various niches like office buildings, manufacturing facilities, industrial buildings, health care facilities and apartment buildings. Consumer awareness is fueling demand for units with higher SEER ratings. CII works closely with strategic and private equity buyers looking to acquire great HVAC businesses with service footprints across multiple metros and/or counties and annual sales north of $10 million.
IMPACT GLASS
The impact glass window and door business is a booming sector especially in states like Florida with thousands of miles of exposed coastline. The increasing frequency and ferocity of named storms coupled with stricter building codes and rising demand for more energy efficient homes and businesses are the perfect storm for continued growth in the impact glass space. CII works closely with businesses that specialize in the manufacture and installation of impact glass windows and doors and pairs them with highly qualified strategic and private equity buyers eager to expand their service footprint in coastal markets in Florida and the Southeast.
LAWN CARE
Lawn care or landscaping services is a $182 billion industry in the United States, and is forecast to grow at a 4% CAGR reaching $221 billion by 2029. Of the nation’s 110,000 lawn care businesses, one-fourth are located in three warm weather states: California, Florida and Texas. Overall, commercial landscaping accounts for over 50% of all industry revenue, while residential landscaping, which is much more fragmented with smaller providers, accounts for 33% of sector revenue nationwide. In the ranking of states by number of lawn care businesses, Florida ranks #1 and accounts for 10% of all firms nationwide. Georgia is home to over 3,500 lawn care companies.
MANUFACTURING
U.S. manufacturing growth started outpacing the rest of the world’s manufacturing growth beginning in 2022, and that trend is forecast to continue. With annual revenue over $7 trillion, manufacturing today accounts for 10% of all jobs in the United States. The value of shipments is evenly split between durable and nondurable goods. Florida, California and Texas are the three states with the most manufacturing businesses. The largest manufacturing segments in Florida are Computers & Electronics, Transportation Equipment, Fabricated Metal Products, Aerospace Products, Durable Goods, Food, Chemicals, Paper & Printing.
PLUMBING
The U.S. plumbing sector is a $124 billion industry with over 130,000 service providers nationwide. Consumer awareness of and demand for highly efficient water systems are great news for industry players given the sustainability-minded consumers’ willingness to spend more on these upgrades. On the commercial side, developers are equally willing to spend more upfront on systems that are automated and highly efficient. Acquisition demand is strong among strategic and private equity buyers, especially for HVAC operators looking to add plumbing to the overall service mix.
PROPERTY MANAGEMENT
The property management sector is a $115 billion industry in the U.S. with 40% of that revenue coming from the management of properties in three states: California, Florida and Texas. On the residential side, Florida has an estimated 30,000 condominium associations which represent 1.6 million condominium units and 3.1 million seasonal and full-time residents. On the commercial side, Florida is home to over 3 million commercial properties statewide. Strategic and private equity buyers will pay a premium for property management firms with great reputations, updated software, satisfied employees, and attractive door:owner ratios.
ROOFING
The roofing and siding contractor industry is one of the most competitive and lucrative in the United States accounting for over $56 billion in revenue in 2023. And the prospects for future growth are bright considering the industry is forecast to grow at a 6.6% CAGR between now and 2032. Florida is home to more roofing businesses than any other state with over 5,000 or 14% of companies nationwide. CII works closely with strategic and private equity buyers looking to acquire great roofing companies with service footprints across multiple metros and/or counties and annual sales north of $10 million.
TECHNOLOGY
TREE SERVICE
The tree service or tree trimming sector in the U.S. is comprised of almost 50,000 businesses nationwide. The tree service sector currently accounts for $34 billion in annual revenue and is forecast to top $44 billion by 2028. The warm weather states of California, Florida and Texas account for the most number of tree trimming businesses. In a state like Florida, there is year-round demand for tree trimming services from both business and homeowners. The added unknown element of a six-month hurricane season keeps tree service business owners busy in preparation for the season as well as responding to emergency clean-ups after major hurricanes and tropical storms.
