The Company is a 6+ year old, Professional Engineer (PE) led regulatory and engineering consulting firm serving upstream oil and gas operators across Texas and New Mexico. Services include: 1) drilling permits, W-1 and plat certification, spacing and density exceptions (Statewide Rules 37 and 38), and field rule applications, 2) compliance audits plus resolution of violation notices, severances, seal-ins, H2S (Rule 36) and flaring issues, 3) injection and produced water disposal well permitting, step-rate tests, mechanical integrity test procedures, and pressure front calculations, 4) hearing testimony, expert witness, and litigation support, 5) well plugging procedures, groundwater protection letters, inactive well compliance, and organization report filings, and 6) regulatory records review for acquisitions and divestitures. Most regulatory service providers simply file forms. The Company solves problems. Clients rely on it for permitting strategy, rule exceptions, land and surface issues, and direct negotiation with agency staff, with work product signed and sealed by a registered PE when the agencies require it.
*** This business best fits an oil and gas services company (regulatory, land, production reporting and accounting, engineering, environmental, or water midstream) that wants to add PE-led regulatory capability and cross-sell its existing services to an established operator client base. ***
The client base is well diversified, ranging from small family operators to large independents and multi-national majors, plus midstream water and disposal operators, law firms, and landowners. ~80% of clients are ongoing, month-to-month relationships that produce recurring revenue. One-time projects, nearly all referred by current clients, make up the balance. The largest client, a very large independent operator, accounts for ~30% of sales and is served by a dedicated full-time contractor billed hourly, so that revenue does not depend on the owner's hours. Clients pay 99%+ of invoices billed. The business has no seasonality, and regulatory filings and compliance remain mandatory whether operators are drilling new wells or plugging old ones.
The owner leads client relationships, project management, and the most technical work and is supported by 5+ experienced independent contractors, including former state agency staff with 30+ years of experience each, consulting geologists (one a registered Professional Geologist), and research and filing assistants. Contractors bill their hours to specific clients and projects, and the Company invoices that time at a markup. A large share of revenue comes from work the owner does not personally perform. The Company has zero employees, zero debt, no office, no equipment, and no inventory. It operates 100% remotely and can relocate anywhere.
Nearly all new business comes from client word of mouth, and revenue more than tripled from 2021 to 2025 with no advertising. Demand exceeds capacity: for the past year, the owner has chosen to decline almost every new client request and refer that work to other firms while preparing for retirement. Today's revenue reflects the owner's chosen workload, not market demand. A buyer with staff in place can say yes to that work from day one. Few firms offer this level of service, and operators need it now.
The owner will personally introduce the buyer to every client and expects most, if not all, clients to continue with a qualified successor. A buyer does not need a PE license to deliver most of these services. After the transition, the owner is willing to sign and seal PE-required work and serve as a part-time technical consultant on a contract basis. The business has clean books and records and can prove all sales and expenses.
NOTE: SELLER PREFERS TO SELL TO A STRATEGIC PURCHASER WITH EXISTING OIL AND GAS REGULATORY, ENGINEERING, LAND, OR OPERATOR SUPPORT SERVICES HOLDINGS.
Purchase Price: The asking price for the assets of the business is NEGOTIABLE. If required by a commercial lender, the seller will consider financing up to 10% of the price to a purchaser qualified/approved by the Seller. All financing is to be personally guaranteed by the individual principals of a prospective purchaser. THE SELLER PREFERS TO SELL FOR ALL CASH. Seller is also open to rollover equity. The assets include Net Working Capital (Accounts Receivable) valued at $170,000 and FFEV (Furniture, Fixtures, Equipment and Vehicles) valued at $10,000 (Company website and online tools). The price will be adjusted for actual Net Working Capital as of the sale date.
NOTE: THE SALE OF A BUSINESS IS CONFIDENTIAL AND DISCREET; PLEASE DO NOT CONTACT THE BUSINESS OR SPEAK WITH ANY OWNERS, CONTRACTORS, OR CLIENTS.
ALL STATEMENTS, FIGURES, AND VALUES ARE SUBJECT TO A PROSPECTIVE PURCHASER’S DUE DILIGENCE. THE INFORMATION FURNISHED BY M&A ADVISOR ABOUT THE BUSINESS AND ITS FINANCIALS HAS BEEN PREPARED BY OR IS BASED UPON REPRESENTATIONS AND INFORMATION SUPPLIED BY THE SELLER. ADVISOR HAS MADE NO INDEPENDENT INVESTIGATION OR VERIFICATION OF SAID INFORMATION.
NOTE: THE SALE OF A BUSINESS IS CONFIDENTIAL AND DISCREET; PLEASE DO NOT VISIT THE BUSINESS OR SPEAK WITH ANY EMPLOYEES OR OWNERS.
KEYWORDS: oil gas regulatory consulting, petroleum engineering consultant, professional engineer PE, Railroad Commission of Texas RRC, New Mexico OCD, drilling permit W-1, Rule 37 spacing exception, Rule 38 density, SWD saltwater disposal well permit, injection well UIC, step-rate test, mechanical integrity test MIT, pressure front calculation, H2S Rule 36, flaring, P-5 organization report, W-3A plugging, inactive well compliance, GAU groundwater letter, notice of violation, severance, seal-in, expert witness, hearing testimony, A&D due diligence, E&P operator services, Permian Basin, Delaware Basin, Eagle Ford, recurring revenue, Sell my Texas Oil Gas Regulatory Permitting Engineering Consulting Business for Sale
- Asking Price:
- $500K - $1M Furniture / Fixtures included
- Sales Revenue:
- $955,210
- Cash Flow:
- $555,407
Property Information
- Location:
-
The business operates 100% remotely with no office, lease, or facility overhead. Consultations take place at client offices or by video call, and the team delivers all work product electronically. A buyer can fold the business into an existing office anywhere in the country or continue the remote model.
Business Operation
- Management type:
- This business is owner operated.
- Expansion Potential:
-
The business uses multiple lead tactics including: 1) word of mouth and referrals from current and former clients (the source of nearly all new business), 2) company internet presence with a regulatory resource library, online tools, and a service request form, 3) active participation on industry trade association regulatory committees, and 4) sponsorship of and speaking roles at industry seminars and events.
A new, energetic owner can further increase sales and profits in multiple proven ways: 1) Accept the steady flow of new client requests the owner now refers to other firms, 2) Add contract or employee regulatory technicians to expand billable capacity, 3) Bill for phone and email consultations that the owner provides today at no charge, 4) Review pricing on hourly rates and reimbursable permit and filing fees, 5) Enforce stated payment terms to shorten the industry’s typical 45 to 90 day collection cycle, 6) Cross-sell a buyer’s land, production reporting, engineering, environmental, or water midstream services to the existing client base, 7) Expand into additional states and basins, 8) Apply AI tools to routine filings and research, 9) Launch the first active marketing program in Company history.
- Competition / Market:
-
The owner rates competition in the trade area as light. Few firms in Texas and New Mexico offer PE-led regulatory consulting, and most providers only file forms and applications. Barriers to entry are high. The specialized subject matter, agency expertise, field experience, and trusted regulatory agency relationships, collectively took decades to build and are not easily duplicated. Many operators handle routine filings in-house and hire the Company for the complex work their staff cannot do.
- Reasons for selling:
-
Retirement. The owner founded and built the Company over many years and is ready to transition to the next phase of life, confident the business is well-positioned for continued growth under new ownership.
- Employees:
- 1 FT + 5 Contractors
- Years established:
- 6
Other Information
- Support & training:
-
Seller will train buyer for 60 days included with the purchase price, including a personal introduction to each client. Seller is willing to provide additional training/support at mutually agreed compensation for a finite period, including signing and sealing PE-required work and serving as a part-time technical consultant if desired by a buyer. The buyer should have a working knowledge of oil and gas regulatory matters.
- Owner financing:
- Owner financing is available. Please contact the seller for more information.
- Financing available:
-
Price NEGOTIABLE. Seller will consider financing up to 10% of the purchase price to a Purchaser qualified/approved by the Seller. Seller is also open to rollover equity of up to 10% of the selling price.
- Furniture / Fixtures value:
- $10,000 - included in the asking price
- Home based:
- This business can be run from home
- Relocatable:
- This business can be relocated
