About Me

My name is Fernando Mateo Jr. I grew up in NYC, NY, then moved upstate to live with my father during my youth. I attended Irvington Middle and High School there. In the early 90s, my father and I created “Toys for Guns,” a program that exchanged illegal guns for gift vouchers, gaining worldwide attention. This earned me a scholarship to John Jay College of Criminal Justice, an opportunity to travel to Italy for 6 weeks, and an invitation to speak to a Congressional subcommittee on gun control.

After high school, I chose to attend the University at Albany SUNY instead of John Jay, where I played football for 2 years and graduated with a degree in Communications and a minor in Psychology. Although I initially wanted to work in PR and Advertising, I decided to run my family's new utility installation construction business. My family had previously operated a sidewalk restoration company for Consolidated Edison and utilized a mentorship program to support our new minority-owned business. I gained practical experience during my summers off, which helped me take full control of the business after college. Once the mentorship ended, I learned to manage operations effectively, maximizing labor and increasing production while maintaining our workforce during slower times.In two years, I became responsible for daily management of sidewalk restoration contracts. A year later, my family started a traffic control company with flaggers. Within three years, my responsibilities increased significantly. I began overseeing 15 people, and after five years, I managed more than 150 employees at the company's peak. I had supervisors and support staff, but I was in charge of the entire operation. My family handled contract bidding and administrative tasks, while I managed job procurement, payroll, billing, union relations, job coordination, dump truck operations, and everything else that needed to be done.

Unfortunately, around 2012-2013, we lost our contracts due to circumstances outside my control, and I needed to adapt. Despite this setback, my education and experience gave me confidence in my future. This led me to create 3 Lil Sisters Productions LLC, where I had to build a portfolio of photos and videos from scratch. It was challenging to do everything alone, and I entered into a partnership that ultimately failed..  

In 2015, I took a job with the City of New York as a hydraulic mechanic in the Department of Sanitation. I started with no experience in mechanics. Since then, I have gained more knowledge and skills than many gain in 30 years. I began in the parts department, learning every aspect of the job to fill various roles as needed. I conducted parts audits and helped organize parts rooms in different garages. During a labor shortage, I repaired collection and snow equipment and eventually became an auditor for snow upgrades, a role usually reserved for more experienced mechanics. Now, I specialize in maintaining hydraulic mechanical brooms, and our team consistently ranks as the best with the lowest downtime.   

Process

EACH and EVERY deal that I present to any investor will have undergone a meticulous process of vetting and scrutiny, having been examined with a fine-tooth comb as thoroughly as possible before an LOI is submitted. This diligent approach is aimed at de-risking each deal to ensure maximized success for all parties involved. My search process is as follows: Once the NDA is signed and the CIM is received, I immediately crunch the numbers to verify that the deal meets a solid 1.5x Debt Service Coverage Ratio (DSCR). After conducting a thorough review of the CIM, I reach out to the broker with an extensive list of questions that cover various aspects of the deal. Subsequently, I report back to my M&A advisor group, and together we meticulously go over all my inquiries along with the responses provided. Once the deal has been carefully scrutinized, my M&A advisors will advise me on whether the deal is worth pursuing or if there are too many red flags indicating potential issues. Furthermore, they will often provide me with additional questions to consider that I may not have thought of. I then engage in discussions either with the broker again or directly with the seller to make a well-informed determination about whether that particular deal is worth pursuing further. Before any LOI is seriously considered, I take the crucial step of conferring with my lender and mentor to gauge their interest and approval, ensuring that it aligns with their investment goals as well.

Deal Box

My Deal Box is quite simple and straightforward. I am focusing on industries that effectively utilize my existing strengths as well as my ability to learn new skills quickly and efficiently, particularly in areas that fall within my “wheelhouse.” I truly believe that these strengths, particularly my hands-on abilities and practical skills, would be best employed in blue-collar fields and/or in various trades where such talents are highly valued.

To qualify for a "deeper dive," the criteria are:

  • Recession-proof

  • Seller is retiring or has a life event

  • Business has been operating for 10+ years

  • Minimal or no family involvement

  • At least 10% seller financing

  • Seller is transitioning for 6 months

  • In-place management and standard operating procedures

  • Qualified for SBA 7a

Businesses of Interest:

  • Utility Installation Contractor

  • Heavy Towing and Recovery/Repair

  • Electrical (license can be leased/supported by key employee)

  • Plumbing (license can be leased/supported by key employee)

  • Paving

  • Traffic Control

  • Remediation Construction

  • Roofing

  • HVAC

  • Landscaping

Deal Size, Needs, Timeline and Investor Offering

Offering a 2% step-up on the investment will be made available. We are open to negotiating any other terms that may be proposed, ensuring they make sense for all parties involved. Our preferred timeline to close the deal is as soon as possible, reflecting our eagerness to move forward efficiently.

Deal Size: The investment range is set between $1.5 million and $2.5 million, with an SDE/EBITDA that falls approximately between $4.5 million and around $10 million for the asking price.

Needs: We are seeking an investor who is not only willing to commit a substantial amount to secure a down payment that represents over 10% equity but also possesses the necessary capital reserves to address any unforeseen difficulties or challenges that may arise. These potential challenges could include issues such as natural disasters or accounts receivable difficulties that may occur due to circumstances like customer bankruptcy.

My deal size and needs may seem large, and that is okay. I possess extensive experience managing family-owned companies that operated under multimillion-dollar, multi-year contracts, encompassing numerous moving parts. Successfully navigating the complexities associated with companies of this scale is not new to me; rather, it is within my realm of expertise.

With the right support, I am confident in my ability to drive transformative growth and usher in a new era for any company I acquire. My background has equipped me with the strategic insight, operational acumen, and leadership skills necessary to handle the intricacies and challenges presented by large-scale operations.

I am committed to leveraging my experience to create synergies, enhance efficiencies, and foster innovation. My approach is rooted in collaboration and a deep understanding of market dynamics, ensuring sustainability and long-term success. I welcome the opportunity to work with a team that shares a vision for growth and excellence. Together, we can achieve remarkable outcomes.

Why Work with Me

I joined the SMB Deal Hunter group, which is led by the knowledgeable Helen Guo, in July 2024. This dynamic group has taught me invaluable skills on how to effectively acquire a business, guiding me through everything from creating my deal box to engaging thoughtfully with brokers and sellers. Additionally, I have built a highly useful process through this comprehensive program. Beyond education and training, I've had the opportunity to connect with top-tier lenders, including one who has become a close friend and invaluable mentor, as well as highly regarded legal and financial experts in the field. As a result, my network of like-minded entrepreneurs, dedicated investors, and experienced M&A advisors has expanded significantly.

A key lesson I’ve learned from my lender emphasizes the importance of ensuring that when buying a business, the seller must be a genuinely GOOD person, the business must be GOOD and reliable, and it should exhibit GOOD cash flow—what I now refer to as the "3 G's." If I would not feel comfortable having the seller at my own dinner table or if there are major inconsistencies and discrepancies in the financials, I will not hesitate to walk away from the deal. I actively seek out sellers who take pride in their work and are genuinely invested in passing their business on to someone they can trust. I understand, all too well, the immense amount of effort that goes into running a successful business and the inherent difficulty of letting it go. Therefore, I strive to reassure sellers that their hard-earned legacy will not only be respected but will continue to thrive under my stewardship.

Schedule a Deal Call

If you’re interested in learning about exclusive deals and opportunities that could benefit you, I invite you to book a call or Zoom meeting with me. During our conversation, we can discuss the specifics of these offers and how they align with your goals.

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