Bill BrownFounder of ServiceTitan Hacks community (9k+ pros) | INC 5000 Contractor | Helping contractors win with AI & Automation

Private Equity in Roofing Is Watching More Than Your Revenue

5 Jun 2025

Watch on YouTube

A short YouTube monologue explaining that private equity investors look beyond headline financial metrics (EBITDA, revenue) to assess sustainability — notably team quality, leadership, and organizational hygiene (clean accounting, HR documents, compliance/licenses). The speaker emphasizes that EBITDA can disappear quickly if the team collapses and that due diligence checks on financials and documentation matter as much as raw numbers.

What is something that people often misunderstand about private equity that they only look or care about? EBITDA and revenue say more about that. It's important factor. It's definitely in the top three. But they look for the team, the people, because that ebitda, that gross, can go away really quickly if your team crumbles. Right. Like, you can go from being on top to zero if you don't have good team in place, a good leader. I think having your financials in order is really important. Like watching the due diligence stage of this. They were really looking into making sure our financials were in order, our HR documents, compliance licenses. So it's not just about the EBITDA number. It's are you organized? Is your accounting clean? I think everyone thinks it's just about the money, and it's not for them because they're looking at is it sustainable.