Selling a security company in Canada is a uniquely complex transaction. Unlike a retail or service business, a security company's value is deeply tied to its recurring monitoring revenue, contract terms, customer attrition rates, and the quality of its installed base. Whether you operate an alarm monitoring company, an access control integration firm, or a fire and life safety business, this guide — prepared by the CMBB team led by Leonardo Obodoeke — will walk you through the process of achieving a fair, dignified exit.
What Makes Security Companies Valuable
The most valuable asset in most security businesses is not the equipment or even the brand — it is the recurring monthly revenue (RMR) generated by monitoring contracts. Buyers in the security sector typically value businesses on a multiple of RMR, with the applicable multiple determined by contract length, attrition rate, and customer quality. Monitoring revenue is valued separately from installation revenue, service contracts, and asset value, and each component is assessed on its own merits.
Types of Security Businesses CMBB Acquires
CMBB actively acquires security companies across Canada and the United States, with a specific focus on alarm monitoring companies, electronic security integrators, access control and video surveillance businesses, fire alarm and suppression companies, and building automation and smart security firms. We do not acquire security guard or investigation companies — our focus is on technology-driven, recurring-revenue security businesses where the value lies in the installed base and monitoring contracts.
How to Prepare Your Security Business for Sale
Before approaching any buyer, it is worth investing time in preparing your business for due diligence. This means compiling a clean list of all active monitoring contracts with their monthly rates, contract end dates, and attrition history. It also means having three years of audited or reviewed financial statements, a documented service and installation process, and a clear picture of your customer concentration — ideally no single customer representing more than 10–15% of revenue. CMBB will conduct a thorough but respectful due diligence process and will not use it as a tool to renegotiate the purchase price.
Selling Without a Broker in the Security Industry
Security industry brokers typically charge success fees based on a percentage of the transaction value — a meaningful cost that reduces the proceeds of a lifetime of work. While brokers can be valuable when you need broad market exposure, many security business owners prefer to work directly with a qualified buyer. CMBB charges no fees to sellers, conducts a straightforward valuation process, and moves quickly from initial conversation to signed letter of intent.
The CMBB Difference for Security Business Owners
CMBB was founded by Leonardo Obodoeke with a clear mandate: to be a direct, respectful buyer for business owners who have spent decades building something real. With strategic guidance from Darie Urbanky — former President and COO of CI Financial Corp. — CMBB brings institutional-grade discipline to every acquisition. When we acquire a security business, we retain the existing team, honour existing customer contracts, and invest in the business's growth. We are not a roll-up fund with an exit horizon. We are a committed, long-term operator.
If you own a security company in Canada and are considering your exit options, CMBB would welcome a confidential conversation. No broker fees. No pressure. Just a direct, honest discussion.
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