HVAC / Home-Services Acquisition & SBA Underwriting Financial Model

Description
You are not just buying trucks and a customer list — you are buying the maintenance book. This is a lender-ready underwriting model for buying a residential or light-commercial HVAC / home-services business with an SBA 7(a) loan, built for self-funded searchers and owner-operators.

The differentiator is a Maintenance-Agreement Recurring-Revenue Engine. Revenue is built bottom-up from the three lines that actually run an HVAC business: the recurring maintenance-agreement book (active agreements times annual ARPU, with attach and renewal rates), service / repair (calls times ticket), and install / replacement (jobs times price). Each line carries its own gross margin, so Gross Profit and therefore SDE fall out of the real operating mix — not a guessed blended number. A market-rate operator salary then comes out to get Adjusted EBITDA, the number a lender underwrites.

• The lender’s DSCR gate on cash flow after a real manager’s wage and capex — with a debt-yield cross-check.
• Maintenance-book coverage — the HVAC-specific headline: the recurring book’s gross profit alone covers about 111% of annual debt service on the base case.
• A 3-part SBA capital stack (loan + equity + seller note) with a full-standby vs amortizing toggle that is the single biggest lever on bankability.
• Three HVAC profiles (Residential Service & Replacement, Replacement & New-Construction, Light-Commercial Mix) that reload margins, multiple, working capital and capex.
  
  

Honest by design: SDE margin is a realistic 16%, returns are stated as leverage-amplified, the private-equity multiple arbitrage is not sold as a single-shop buyer’s return, and there is deliberately no headline IRR. Every formula is machine-verified by three independent engines. Works in Excel and Google Sheets. Educational planning tool, not financial, tax or legal advice.