Springer Floor

Agenda

1. Introduction — who Next Chapter is and why we reached out to Springer Floor specifically
2. Learn about Terri and Eddie's journey since acquiring the business in 2019 and where they see it heading
3. Understand what's working well — the Forever Kleen program, the 26-city footprint, the team they've built
4. Explore what a future transition could look like on their terms and timeline
5. Outline next steps if there's mutual interest in continuing the conversation

Objectives ☐

• Determine Terri and Eddie's actual motivation — are they exploring a sale, a partial exit, or just curious about valuation?
• Understand the ownership split and whether both owners are aligned on timing and outcome
• Learn the real financial picture beyond the ~$900K estimated revenue — margins, owner compensation, capex needs
• Assess how dependent the business is on the Holmans personally vs. the 11-person team
• Gauge their timeline — is this a 6-month conversation or a 2-year runway?
• Build enough trust that they choose Next Chapter over doing this alone or with a competitor

Talking Points

• We focus exclusively on home services businesses in the $500K–$5M range — floor care, HVAC, plumbing, pest control — so we understand your market deeply
• The Forever Kleen quarterly maintenance program is exactly the kind of recurring revenue model that commands a premium from acquirers — most floor care companies don't have anything like it
• Having an IICRC national instructor on staff is a genuine differentiator — that's institutional knowledge that transfers with the business and gives buyers confidence in service quality
• Your 26-city coverage across Central Iowa took seven years to build — an acquirer would need significant capital and 3–5 years to replicate that organically, which is why geographic footprint drives valuation
• Des Moines is one of the strongest mid-market metros in the Midwest right now — buyers are actively looking at Central Iowa for exactly this type of business
• We handle the entire sell-side process — buyer identification, outreach, qualification, negotiation — so you stay focused on running the business while we run the transaction

Questions to Ask

1. What made you start thinking about exploring your options now, after seven years of building since the 2019 acquisition?
2. When you picture the ideal outcome, what does that look like for you and Eddie — full exit, staying on for a transition, or something else entirely?
3. How does the Forever Kleen program break down — what percentage of your revenue is recurring vs. one-time service calls?
4. Of your 11 team members, who are the key people a buyer would want to keep, and how deep is your bench if you stepped back?
5. What's your commercial vs. residential mix, and which side has been growing faster?
6. Are there service lines or territories you've wanted to expand into but haven't had the capital or bandwidth to pursue?
7. Have you been approached by any buyers or competitors in the past, and if so, what turned you off about those conversations?
8. What would make you walk away from a deal even if the number was right?
9. Is there a number or a timeline that would make this feel like the right time, or are you still figuring that out?
10. Who else is involved in this decision — family, partners, advisors, accountant?

What We Bring

• Next Chapter specializes in home services M&A — we're not generalists trying to learn your industry on your dime
• We've mapped the buyer universe for floor care businesses in the Midwest — PE-backed platforms, regional roll-ups, and independent operators looking to expand
• Businesses with recurring revenue programs like Forever Kleen consistently sell at a premium to one-time service companies in the same vertical
• The current M&A climate for home services in the $600K–$1.3M range is active, with strategic buyers paying 2.5–4x adjusted earnings for businesses with your profile
• Our process is confidential — no one in your market, your team, or your customer base knows you're exploring until you decide to move forward
• We don't charge anything upfront — our fee is success-based, aligned entirely with getting you the best outcome

Danger Zones

• Do NOT quote specific valuation numbers ($600K–$1.3M) in a discovery meeting — it's too early and could anchor expectations incorrectly
• Avoid implying the business needs to be 'fixed' before a sale — frame everything as amplifying existing strengths
• Don't press on financial details if they're not ready to share — trust takes time, and this is meeting one
• Steer clear of comparing them to competitors or suggesting they're behind the market in any way
• Don't rush the timeline conversation — if they feel pushed, they'll shut down
• Avoid discussing Eddie and Terri's personal finances or reasons for selling beyond what they volunteer
• Never mention the business being 'small' — at $900K revenue with 11 employees and 26 cities, frame it as a serious platform

If Positive → Next Steps

• Schedule a second meeting within 7 days focused on financials — request P&L, tax returns, and customer concentration data under NDA
• Send a follow-up email within 24 hours summarizing what we heard and confirming next steps in writing
• Begin drafting the Confidential Information Memorandum and blind teaser based on discovery intel
• Start building the 75–100 buyer target list across strategic platforms, financial buyers, and independent operators
• Prepare a formal engagement letter with terms for their review before the second meeting

If Not Ready → Next Steps

• Thank them sincerely for their time — no pressure, no guilt, no awkward sales tactics
• Offer to send a general market overview for floor care businesses in the Midwest so they have it when the timing is right
• Ask permission to check in quarterly — position it as keeping them informed about market activity, not chasing them
• Log the conversation in the CRM with detailed notes on their concerns and timeline for future outreach
• If they mention a specific blocker (not ready for 2 years, want to hit $1M first), note it and set a trigger to re-engage when that condition might be met