Young entrepreneurs under 35 are increasingly acquiring established HVAC companies instead of building a business from scratch. This approach allows them to enter the market faster and reduce the risks associated with launching a new venture. Previously, air conditioning, ventilation, and heating installation companies were more often passed down through inheritance, sold to employees, or to other contractors; however, in recent years independent buyers from among millennials and older Gen Z have entered the market.
Many of them are former corporate specialists, graduates of Entrepreneurship Through Acquisition programs, and entrepreneurs who see the air conditioner and heat pump segment as a stable, recession-resistant business.
📊 According to BizBuySell data:
- 43% of brokers reported increased activity from such buyers
- 44% of the acquirers described themselves as “corporate refugees”
Interest in the industry is also fueled by influencers promoting the idea of buying an established business through social media.
Brokers Patrick Lange and Loren Moldwin confirm a noticeable shift in demand. This year, Business Modification Group received about 4600 inquiries for information on the sale of HVAC companies versus 3000 over the same period last year, with most inquiries coming from newcomers under 35.
Buyers are looking for businesses:
- with experienced licensed employees
- with a diversified portfolio of residential and commercial properties
- as well as recurring revenue
At the same time, they are increasingly relying on financing through the Small Business Administration.
The pandemic further increased the industry’s appeal, demonstrating its resilience to external shocks. Today, young owners especially value companies that can operate without the owner’s daily involvement in sales, and note that acquiring an existing business with an established reputation and customer base turns out to be more advantageous than starting from scratch amid rising customer acquisition costs and labor shortages.