Tupelo Data Room
IT & Software Services
Active

ADD ON / Midwest based MSP w/ ~$8MM TTM Revenue

Minnesota, United States
Asking Price-
Revenue$8,000,000
EBITDA$2,500,000
Cash Flow$2,500,000
Description
ADD ON / Midwest based MSP w/ ~$8MM TTM Revenue Company Overview This opportunity represents a leading independent managed IT services (“MSP”) platform serving small and mid-sized businesses, educational institutions, manufacturers, distributors, and professional service firms throughout the Upper Midwest. Founded more than 25 years ago, the Company has built a highly recurring, mission-critical business providing managed IT, cybersecurity, cloud infrastructure, compliance, backup & disaster recovery, and technology lifecycle management under long-term customer relationships. The business has established itself as one of the premier independent MSPs in its market, benefiting from significant industry consolidation as many regional competitors have been acquired by private equity-backed platforms. The Company’s strong local reputation, exceptional customer service, and deep expertise in regulated industries have enabled it to consistently win new business while maintaining outstanding customer retention. Today, the platform serves nearly 200 customers with minimal customer concentration, supported by an experienced management team capable of operating independently of the founder. The Company has also successfully completed its first strategic acquisition, demonstrating a proven buy-and-build playbook with meaningful whitespace for future consolidation opportunities across the Midwest. The MSP industry continues to benefit from powerful secular tailwinds, including increasing cybersecurity requirements, cloud migration, AI adoption, and expanding regulatory compliance obligations, making managed IT services an increasingly non-discretionary spend for businesses. With a highly recurring revenue base, strong margins, scalable infrastructure, and significant acquisition opportunities, the Company is well-positioned for both strategic buyers and private equity-backed platform investors seeking a scalable IT services platform. Key KPIs * TTM Revenue: ~$8.0MM * Adjusted EBITDA / SDE: ~$2.5MM * EBITDA Margin: ~31% * Founded: 1999 * Employees: 30+ * Customers: 194 * Average Client Tenure: 6.2 Years * Average Contract Length: 3.3 Years * Largest Customer: <7.3% of Revenue * Estimated Recurring / Contracted Revenue: 80%+ * Managed Services Revenue: ~57% of Total Revenue * Security, Cloud & Infrastructure Revenue: ~43% of Total Revenue * Average Response Time: 3.5 Minutes * Microsoft Solutions Partner * Apple & JAMF Certified Expertise * Proven Acquisition Platform with Successfully Integrated Add-On Acquisition * Founder Largely Removed from Day-to-Day Operations with Established Executive Leadership Team * Significant Buy-and-Build Opportunity Across Highly Fragmented MSP Industry
Number of EmployeesFull-Time: 30
Year Established
199
Related Categories
IT and software services for Sale
Business for Sale in Minnesota
Asking Price-