Pitt Bros Casas Del Sol, LLC

We are a 34 year old, Licensed General Contractor that averages over $900,000 in gross sales per year and expected to grow with the proper infusion of capital. 80% of our revenue is derived from a recession proof industry of Insurance Restoration, while the remaining 20% comes from retail home renovations. Pitt Brothers is seeking a $500,000 investment in exchange for a 5% Gross Revenue Royalty.

Historic Revenues:
2019 - $931,646
2020 - $714,650
2021 - $1,605,205
2022 - $612,063
2023 YTD - $384,866.97

2023 revenue has been achieved with $0 spent on marketing or advertising.

In April 2023, Pitt Brothers brought on a dedicated project manager who has significantly improved the production and customer satisfaction of the company. As of July 7, 2023, the company has over $500,000 in contract backlogs including 3 retail projects and 9 Insurance restoration. All of these projects will be completed before the end of 2023. Additionally, Pitt Brothers is bringing on 2 additional sales people for insurance restoration work that will yield the company an additional $150,000 per month in additional contracts this year.

USE OF CAPITAL:
Pitt Brothers will use the $500,000 capital raised through this offering in the following manner:

INVESTOR RETURN STRUCTURE:
Pitt Brothers is seeking to structure the investment on a Gross Revenue Royalty structure. This allows for simplification of calculating the investor return, participation in growth of the business, more sustainable cashflow during slower months and a continued return that will outperform a market based return. The 5% Royalty would be paid monthly based on monthly receipts and will continue in perpetuity. Based on our worst revenue year, the investor would have still received a 6.12% Annual ROI.


GROWTH PROSPECTS:
Expanded Sales Team for Insurance Restoration:
Pitt Brothers has a unique team that work seamlessly to create highly profitable insurance restoration jobs. Mr. Harrington achieves a 90% sale rate of homes with damage that qualify for insurance restoration. Mr. Harrington, being a master of the building code and extremely well versed in Xactimate, a pricing database used by most insurance companies, Mr. Harrington is able to create highly accurate restoration estimates that yield between 40% & 60% Gross Profit Margin. When coupled with a Public Adjuster that is on the team, Pitt Brothers is able to negotiate its claims in a much more efficient and effective way than any other restoration company in the market. With this efficiency, the opportunity for an expanded sales team emerges. In this industry, the average salesman generated around $75,000 per month in new sales. Pitt Brothers has 2 experienced salesmen ready to come onboard. These salesmen will be onboarded by July 31, 2023. These 2 salesmen, in addition to Mr. Harrington, would allow Pitt Brother to achieve gross revenues reaching $2,000,000 per year, resulting in a 20% Annual ROI.

Deferred Payment Renovation:
Once the debt consolidation is complete and Pitt Brothers experiences a stabilized operation for 3 months, Pitt Brothers will be launching its Deferred Payment Renovation Program ran in partnership with the Carrao Group of Long and Foster. Mr. Carrao has worked with multiple contractors on a similar program with great success where his realtor group refers a homeowner looking to sell their home, but needs renovations completed prior to the sale. Pitt Brothers would complete the renovation, the home would go to market and Pitt Brothers would be paid at closing. If the home doesn't close within six months, the  owners are required to pay for the renovation out of pocket. This program would create Accounts Payables that would qualify Pitt Brothers to utilize the SBA 7(a) CapLines Line of Credit to fund the renovations and provide profits while waiting for payment from the project. This program would yield $500,000 - $1,500,000 in gross revenue per year. To qualify for the SBA 7(a) CapLines Line of Credit, a debt consolidation and restructuring is required.