Andover National Corporation is a holding company with
businesses engaged in essential services.
Andover’s objective is to acquire majority interests in highly profitable, private businesses owned by established entrepreneurs. These owners not only desire liquidity after many years of working, but also want to continue building and growing their companies by leveraging years of experience and local relationships.
The focus area is essential services in the Southeast United States. Our partner companies have large amounts of non-discretionary revenue that is recurring in nature, sees minimal foreign competition, and has a low risk of technological obsolescence. Importantly, we estimate that this addressable market is worth over $100 billion annually in the US, with the Southeast representing a very substantial portion. Our target markets are growing faster than the general economy and are highly fragmented, creating unique opportunities for our partners.
Andover is focusing on commercial tree service, pest control, landscaping, water reclamation, and related verticals. We believe the US Southeast is very attractive, as this region is growing faster than the national average across all measures and has experienced more persistent and severe tropical weather. We expect that these characteristics will support the long-term durability of the businesses we acquire for decades.
Andover believes a critical part of our continued success in finding great operators is that we avoid the typical private equity playbook. We eschew the use of excessive debt or other forms of financial engineering and allow our partners to remain fully independent, only getting involved when appropriate or if they ask. We also ensure that those we partner with share a strong sense of pride and commitment to their employees, clients, and community—traits we believe are critical to our collective success. Andover firmly believes that this approach will continually engender unique opportunities for us that are not always available to other investors. We believe another differentiator in our model is our partners ability to retain significant stakes in their companies, particularly as we grow together.