Electrical Fractional CFO Services
Most electrical companies run at 8–15% net margins. Yours should be at 30%+.
We’ve sat on the buy side of home services M&A. We know residential service vs. new construction economics, crew productivity, material margins, and commercial billing cycles. We don’t just read your P&L — we know which numbers are wrong and exactly where your margin is leaking.
Measurable margin improvement in 90 days | 200+ acquisitions reviewed | ServiceTitan + QBO specialists
Where electrical companies lose margin
No idea which divisions are actually profitable
Residential service calls, panel upgrades, new construction, commercial projects — each has fundamentally different cost structures. Without division-level P&Ls, your profitable residential service work might be subsidizing low-margin commercial jobs and you’d never know.
Revenue up, take-home flat
More trucks, more electricians, more overhead — but the owner’s draw hasn’t moved. Every new hire has a breakeven point nobody calculates. We’ve seen electrical companies grow 40% in revenue while profit margins actually shrink.
Pricing based on competition, not your actual costs
Your flat rates or T&M pricing were set years ago and haven’t been rebuilt against current labor costs, materials, and overhead. You’re completing jobs at margins thinner than you think because nobody has connected real job cost data to your pricing.
Operational data lives in a silo
Job completion rates, electrician productivity, callback frequency, average ticket — the data exists in your field service platform but it never connects to your financials. You can’t see which crews produce margin and which ones cost you money.
A CFO focused on your electrical profitability — not just your books
Profitability Diagnostic
Most electrical contractors find 5–10+ points of margin improvement in the first 90 days. We map your margins by division — residential service, new construction, commercial, panel upgrades — then show you exactly where the gaps are and what closing them is worth in dollars.
Monthly Financial Review
Know exactly what changed in your margins last month — and what to do about it this month. A structured monthly meeting walking through your P&L by division and crew, tracking variance against benchmarks, and identifying the specific actions that improve your bottom line.
KPI Dashboard
The numbers that actually drive your electrical bottom line — connected to your financials for the first time. Revenue per electrician, average ticket by service type, close rates, cost per lead, and gross margin by division, all tied to financial outcomes. Updated monthly.
Cash Flow Forecasting
Know exactly when cash gets tight before it happens — not after. Rolling 13-week projections accounting for project timelines, commercial receivables, equipment purchases, and seasonal patterns, so you make growth decisions with confidence instead of checking the bank balance.
Compensation & Incentive Design
Comp that drives revenue AND margin — not top-line growth that destroys profitability. We model electrician pay plans, performance bonuses, and incentive structures against your actual margins so you attract top talent without giving away your profit.
Exit & PE Readiness
Every point of margin is worth 5–10× at exit. A $10M electrical company at 10% net has $1M of EBITDA and sells for roughly $5–7M. At 30% net — the ideal case for an electrical contractor — it has $3M of EBITDA, and because larger, better-margined earnings also command a higher multiple, the same company is worth $24–36M. We build your books to PE standards — adjusted EBITDA, quality of earnings prep, add-back documentation — whether you sell next year or in ten.
If you’re leaving $500K/year on the table, that’s $42K slipping away every month you wait. Let’s find the 5–10 points of improvement hiding in your numbers.
The expertise to know what’s wrong. The tools to fix it.
We know your trade — financially and operationally
We work exclusively with HVAC, plumbing, electrical, and roofing companies. We don’t just understand your chart of accounts — we understand your operations. Tech comp structures, seasonal demand patterns, job costing gaps, crew economics, pricebook optimization. That operational depth is why we can find margin that generic CFOs miss.
200+ home services financials reviewed — we know what good looks like
Our team has reviewed financials on 200+ home services acquisitions on the buy side — including experience at firms like Apex Service Partners. We’ve seen what 20%+ margins look like across every trade and revenue level. We know exactly which levers produce results — and which ones are noise.
Diagnostic tools that connect operations to dollars
We bridge the gap between your field service platform and your financials. ServiceTitan data, QuickBooks reporting, department-level P&Ls, crew-level profitability — we build the infrastructure to see where money is being made and where it’s leaking. Then we help you fix it.
The numbers we hold your electrical company to
Gross margin: 65–70% blended
Well-run electrical contractors blend 65–70% gross margin — the most labor-driven of the trades, so labor productivity and pricing discipline are the whole game. Service, residential project, and commercial work each carry their own margin, and if you only see one number you can’t tell which line is carrying the others.
Net margin: 30% is the target
Most electrical companies run 5–12%. Revenue usually isn’t the problem — operating overhead drifting above the 20% band where it belongs is.
Marketing: 5–15% of revenue
Including organic. Roughly 7–9% in maintenance mode, 9–12% for growth, 12–15% when you’re scaling hard or turning around. In a market where PE-backed competitors bid up every lead, spending to hold price beats discounting to close.
Profitable growth
There’s a right amount of overhead for every level of revenue. Electrical is a little less seasonal than the other trades, which makes scaling the next challenge after profit optimization — and the point where most shops quietly give their margin back. We benchmark your costs at each stage so you stay profitable as you grow.
Want the math behind each number? Read our electrical profit margin benchmarks.
Every point of margin is worth 5–10× at exit
The overhead math
Cutting $200K of overhead the business doesn’t need is worth $1–2M at a 5–10× multiple. Most companies find at least a few points hiding in leases, insurance, software, and roles that outlived their purpose.
Gross profit is the lever
Most electrical companies run 5–12% net, and almost every time it traces back to a combination of gross profit and overhead. We work the GP side hard: pricing built from fully loaded labor, compensation models that pay for performance, and enough marketing to hold price instead of discounting to close — so gross profit lands as high as the trade allows before overhead is even on the table.
A revenue mix a buyer can underwrite
Residential versus commercial, new construction versus service, maintenance versus one-off — buyers care about the quality of your revenue, and each line carries its own margin profile and its own predictability. We report them separately so your trailing-twelve-month earnings survive normalization instead of getting adjusted away.
Add-backs a buyer will actually accept
Owner compensation, one-time legal costs, the personal truck on the company card — legitimate adjustments only count if they’re documented as they happen. We tag them month by month, so your adjusted EBITDA is a schedule a diligence team can verify, not a story reconstructed from memory two weeks before close.
If a sale is anywhere on your horizon, the time to build the margin is now — before a buyer prices it for you.
Book a Free Financial Diagnostic →
Real ResultsWe’ve taken an electrical contractor from negative cash flow to double-digit EBITDA margins in twelve months — by breaking the financials apart by trade and business unit and finding the overhead and operational leaks a standard P&L never shows. Read the Maverick Electric case study →
Frequently asked questions
Find out where your electrical margins are hiding
Most electrical companies have 5–10+ points of margin improvement waiting to be found. That’s real money — on your bottom line today and worth multiples when you sell.