We Buy Your Established BusinessChallengerX acquires small transportation businesses and grows them indefinitely. We care about our employees, our legacy and our communities. We invest in companies that are focused on delivering high quality customer service to each customer, every day. With 11 acquisitions since 2022, we are on track to create one of the biggest roll-up strategic acquisitions conglomerate of successful transportation businesses nationwide that operate and grow from one single platform and strong leadership team. | |
We Buy Your Established Business
ChallengerX acquires small transportation businesses and grows them indefinitely. We care about our employees, our legacy and our communities. We invest in companies that are focused on delivering high quality customer service to each customer, every day. With 11 acquisitions since 2022, we are on track to create one of the biggest roll-up strategic acquisitions conglomerate of successful transportation businesses nationwide that operate and grow from one single platform and strong leadership team.
We Buy from Seasoned Owners Who:
Established Companies
We seek established transportation companies that have outgrown their founders and stand independently.
Seasoned Sellers
We prefer to work with retiring business owners. Whether keeping the existing management team or bringing in new leadership, we offer flexibility in transitioning your business.
Stable Workforce
We value experienced teams. Our goal is to maintain continuity, keeping the same employees, delivering the same quality, to the same loyal customers.
Seeking Businesses with $500K–$4M EBITDA
We're interested in transportation companies that often fall in the "small and middle ground"—too large for most individual buyers but typically too small for larger investment firms.
Recurring Revenue Focus
We aim for businesses with consistent, recurring revenue streams. No construction companies, start-ups, or those in volatile industries like Oil & Gas.
Local Competitors
We prefer markets where we can directly face our competition. Businesses that require specialized equipment, permits, and skilled teams are exactly what we seek.
Meet the Criteria?
If you align with what we're looking for, reach out and take the first step today.
Common Questions From Sellers
We aim for a long-term approach and understand that younger owners value cash flow and future business potential, leading to higher valuations. To avoid overpaying and adding stress to the business, we focus on acquiring from seasoned owners, allowing us to maintain operations as-is.
Our initial goal is to maintain stability, making no immediate changes to the operations or team. As time progresses, we explore low-risk growth opportunities, often guided by the former owner's valuable insights. Each business is managed individually, with ChallengerX holding a significant ownership stake for the long term.
The transition period usually lasts around 90 days or less. We emphasize continuity through stable teams, allowing for a smooth handover to a new or promoted president. While the former owner may provide strategic input post-transition, we ensure the new leadership's authority remains intact.
We typically acquire 100% of the company through stock transactions for a seamless transition, paying approximately 4-5 times "Adjusted Cash Flow" with 75% cash at closing. Flexibility is key, and deals are funded primarily through ChallengerX's internal capital, with options for partnerships on larger acquisitions.
Post-closing, we appoint a new president to manage daily operations. Our CEO works closely with the new leadership during the first year to ensure a smooth transition and ongoing success, with regular communication as needed.
We prefer to acquire the real estate alongside the business but are open to arrangements where the owner retains it as a source of passive income.
Each transaction is unique, and we offer flexible solutions
Let’s discuss how we can work together
Deal Methodology
How do we work?
Understanding the Situation
We start with a conversation to grasp the owner's goals and expectations
Financial Overview
A high-level financial review (tax returns, etc.) ensures all parties agree on "Adjusted EBITDA."individually, with ChallengerX holding a significant ownership stake for the long term.
Expression of Interest
We provide a non-binding Discussion Letter, outlining our valuation, deal structure, and key transaction terms. If terms don’t align, we save everyone’s time.
Capital Commitment
We confirm our financial ability to close the deal. If outside funding is required, we secure those partners in advance.
Due Diligence
With over 25 years of experience, our President leads efficient due diligence, understanding that not all details will be perfect.
Closing / Post-Closing
We aim for seamless transitions, keeping the team intact and maintaining existing operations, as demonstrated by the long-term retention from one of our earliest acquisitions, Haz~Mat.
Let’s work together to make your transaction smooth and timely.
What We Seek
Over the Road Long Distance Trucking Companies
ChallengerX has acquired 11 companies and is actively pursuing additional add-on acquisitions in 2024-2025. The combined companies generate $60 million in revenue and employ 155 people. We offer competitive buy-side fees for successful introductions.
Ideal Acquisition Candidates:
Ideal Acquisition Candidates:
- Service Type: Over the Road Long Distance Trucking Companies in the lower 48 states.
- Revenue Range: $5 million to $40 million.
- Geographic Focus: Located across the lower 48 states.
- Financial Health: Consistent, stable earnings (not distressed).
- Ownership Profile: Companies owned by experienced professionals seeking retirement.
- Business Longevity: Over 4 years of operational history preferred.
Fit the Criteria?
Leave your email, and let’s make a deal.
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