Website Closers® presents an established, twelve-year-old Employee Screening firm. The Company utilizes effective advanced software tools and a comprehensive network of resources to investigate key background profiles, such as Criminal Records, Driving Records, Credit Reports, and Employment Verification, to name a few. The company has developed long term contractual relationships with clients across the Commercial, Healthcare and impenetrable Government Sectors and benefits from a stunning 97% Customer Retention Rate. This gumshoe firm knows what it takes to gather customers, and how to make them stick around.
An industry leader when it comes to equipping customers with key information needed to make wise hiring decisions, this firm has established a very thorough and rigorous background screening network. Powering ahead of others in the field, their network consists of hundreds of individual links to county, state, and federal record sources for in-house researchers to scour for criminal and other background research records. The Company has a full time General Manager that has held the role for several years, as well as a team of contractors to perform record checks through its database of XML links and through its network of contacts in jurisdictions that do not make records accessible on-line. This is all integrated with a sophisticated software system to provide a seamless experience for the customer. With dozens of government and commercial contracts, this is a turn-key opportunity that is virtual and easy to relocate.
The company’s clients have included some of the largest providers of contract security to the United States government. The Company’s experience includes screening thousands of security personnel at our country’s most sensitive government buildings and military installations. The business utilizes the most advanced internet-based technologies in order to ensure its reports are delivered accurately and at a competitive price. They have developed specialized programs for screening personnel in contract security, health care, hospitality and gaming facilities.
The Company has a proven, multi-year track record. After a COVID-related lull in 2020 sales, 2021 numbers are back up and almost in line with historical levels. This is in spite of the fact that the owner is relatively hands-off and spends less than five hours per week managing the business. Trends in 2021 show solid growth for each and every quarter.
There are 4 government contracts and 79 commercial contracts (of which 69 are in elder care) as of 10/20/2021. The 69 elder care facility contracts are all with franchisees of a larger organization that has over 1000 total elder care franchises for which this company is one of a handful of preferred vendors. This preferred vendor status offers a huge advantage to gain new franchisee clients. Client numbers continue to grow year after year, primarily due to referrals from existing customers and with almost no sales efforts by the owner.
Over the past 12 months approximately 22% of revenue has come from multi-year government contracts while approximately 73% has come from eldercare businesses, with the balance coming from other commercial clients. Over the past 3 months the company has gained 4 new elder care franchise clients alone.
As is standard in the industry, commercial clients are on a month-to-month basis. All government contracts are multi-year and have been renewed at every re-compete. The long-term government contracts are by far the most valuable asset of the company. The prospective buyer of this company would consider such assets priceless and highly valuable. The company is also a preferred vendor for two state governments, Washington and Montana. This would allow the company to offer services to any other governmental entities in these states, easily accomplished with an outbound sales and marketing campaign.
Due to the non-transferable nature of many of the company’s contracts, this transaction is intended to be a stock sale rather than an asset sale.
