How to Sell a Security Business
Casa Business Sales specializes in facilitating successful sales of security alarm and CCTV companies, backed by extensive industry expertise.
If you're considering selling your security alarm or CCTV business, you're likely aiming for a sale that is efficient, straightforward, and most importantly, profitable.
With over 30 years of experience in selling security businesses, Casa Business Sales understands that successfully brokering sales in the security industry requires more than just placing an advertisement and waiting for offers. Thanks to our deep knowledge of the sector, we discreetly market your security business directly to genuine buyers, ensuring both speed and profitability in the sale process.
Having successfully facilitated millions of pounds in business sales, we possess the contacts, experience, and expertise needed to sell your security alarm or CCTV business.
Contact Casa Business Sales today to learn how we can help you achieve a successful sale of your security business.
Key Considerations When Selling Your Security Business
The security industry is highly competitive, with many SMEs competing for contracts. However, market trends indicate an increase in domestic security concerns, leading to growth in security alarm and CCTV installations. To ensure a profitable sale, your security business must be well-positioned within this market. Our experts will guide you through the process, helping you understand the best route to market and how to make your business sale-ready.
We will assist you at every stage of the sale process to ensure:
Your business is valued realistically to meet your profitability goals and provide
an attractive market price.
You are quickly connected with qualified buyers.
Negotiations are handled discreetly, with strict confidentiality to protect your interests.
Your business is fully prepared for the due diligence process.
All paperwork related to the sale is meticulously prepared.
You receive guidance on how to structure the sale in the most tax-efficient way possible.
Why Sell Your Security Business?
The UK security industry generated £9.1 billion in turnover in 2016, marking a 65% increase since 2010. It employs over 120,000 people and contributes more than £4 billion in exports. Specifically, the UK electronic security systems market is expected to grow at an annual rate of 2.5% to 3%.
This growth is driven by increasing concerns about home security, with monthly burglary statistics averaging 35,000 incidents. Notably, 56% of these occur while someone is home, and 44% happen during daylight hours. Additionally, global security threats and rising consumer spending on homes and businesses contribute to the strong performance of the security sector.
Despite these positive trends, various personal or financial reasons may prompt you to sell your security business—whether you're seeking retirement funds, exploring new ventures, or seizing a favorable market opportunity. Our industry experts can assess your business and its position in the UK market to determine an appropriate and realistic valuation.
Valuing Your Security Business
Attracting the right buyers for your security business can be challenging without the right marketing strategy. Casa Business Sales offers access to over 10,000 actively searching buyers and provides a professional valuation service. This will give potential buyers a clear understanding of your business’s worth and a target sale price.
Our in-house valuation team will guide you through the valuation process, ensuring you stay informed at every stage. Thanks to our discreet advertising approach, we maximize exposure for your business while protecting your existing client base from unnecessary disruption.
With over 60 years of experience in business transfer, we have a proven track record in successfully selling security sector businesses.
When is the Right Time to Sell Your Security Business?
Deciding when to sell your security business can be difficult. A healthy market doesn't always equate to readiness for sale. In fact, most successful sales are planned 2 to 3 years in advance, allowing time to organize financials, prepare for succession, and enhance the business’s attractiveness to potential buyers.
Our experts will assess the specific circumstances of your business and market position, helping you determine the best time to sell for a profitable outcome. We provide honest, thorough analysis to ensure that you make an informed decision.
Valuing Your Security Business
Valuing a business can be complex—essentially, the value is determined by what a buyer is willing to pay. However, in the security sector, businesses are often valued based on their recurring monthly revenue (RMR) rather than traditional EBITDA (earnings before interest, tax, depreciation, and amortization).
If your business relies on one-time installations of security systems, the EBITDA method may be more appropriate. However, if your business primarily involves ongoing contracts with clients, a multiplier of RMR may offer a more accurate valuation.
Key factors influencing the multiplier include:
The balance of residential versus commercial clients, impacting contract longevity.
The type of contracts, including clauses related to ownership changes.
The attrition rate of clients.
Use of specialized versus standard equipment.
Our valuation experts will provide a comprehensive assessment, ensuring your security business is priced to meet your goals while attracting potential buyers.
Sell My Security Business
