Running an HVAC business isn’t just about systems and service calls. It’s about people, timing, and making bold decisions when the market shifts. This episode with Taylor, the fourth-generation owner of Washburn Air, discusses what it really takes to acquire and grow a legacy HVAC company while staying competitive against private equity giants.
From Engineer to HVAC Owner
Taylor’s journey into HVAC wasn’t typical. With a background in engineering from Texas A&M and years in the semiconductor industry, he decided in 2024 to buy a business in the trades. His logic was simple: HVAC is recession-resistant, especially in Texas, where triple-digit heat makes air conditioning a necessity.
He also saw HVAC as a way to give back. For many elderly customers, having a functioning cooling system isn’t just about comfort; it’s survival. That human connection became the foundation of his approach to business.
Why Buy an HVAC Company Instead of Starting Fresh
Rather than launching from scratch, Taylor acquired Washburn Air, a company that’s been serving Grapevine, Texas since 1960. Its long-standing reputation gave him a powerful starting point; loyal customers, brand trust, and established systems.
Still, he faced challenges. The company had solid marketing but weak operational structure. Taylor’s first priority was rebuilding communication, improving day-to-day management, and putting the right people on the bus; hiring employees who fit the company’s long-term vision.
Rebuilding from the Inside
One of Taylor’s first lessons: success depends on relationships. From distributors to technicians, every partnership counts.
He focused on:
- Building strong supplier relationships with brands like Goodman, Trane, and Carrier.
- Becoming a preferred dealer to secure better pricing and reliability.
- Improving team quality by investing in experienced technicians rather than starting from scratch.
Taylor didn’t chase quick hires. He vetted candidates carefully, running background checks and assessing character just as much as skill. His interview filter was simple: Would a homeowner feel comfortable inviting this person into their house?
Managing Costs and Quality in a Competitive Market
When asked how to stay profitable without overcharging, Taylor shared a practical breakdown:
- Aim for 45% profit margins on installations.
- Target 60% profit margins on service work.
But he admitted that margins are tightening in 2025. In Dallas, he says, it’s the second toughest HVAC year in two decades, not because of parts shortages, but because of rising tariffs, EPA refrigerant mandates, and high interest rates squeezing homeowners’ budgets.
Still, he believes there’s room for smaller operators to win; if they stay disciplined, efficient, and personal.
The Private Equity Problem
Private equity firms have flooded the HVAC industry, buying up family-owned shops and scaling them under national brands. These firms often have $20 million marketing budgets, leaving smaller players struggling to compete for ad space and online visibility.
Taylor’s solution isn’t to outspend them; it’s to outconnect them. By emphasizing personal relationships, consistent follow-ups, and long-term reputation building, he positions Washburn Air as the trusted local expert, not just another number in a call queue.
Marketing That Sticks
Instead of chasing endless PPC campaigns, Taylor doubled down on smart, memorable marketing:
- SEO and Google Business Profile optimization for organic visibility.
- Direct mailers with strong offers and magnetic fridge calendars featuring local sports schedules.
- Google Local Service Ads (LSA) for verified, high-intent leads.
His magnet mailers, featuring the Texas Rangers in spring and Dallas Cowboys in fall, keep Washburn Air’s name in front of customers all year. If it ends up on the fridge, he says, “that’s a win.”
Training, Reputation, and Long-Term Play
Taylor invests heavily in technician training, leveraging manufacturer-led programs during slower seasons. But during Texas summers, training pauses, “it’s go time,” he says.
He also prioritizes online reputation, understanding that reviews, website credibility, and backlink profiles all influence local SEO. His team studies competitors’ backlinks to uncover opportunities for exposure and credibility.
Advice for Entrepreneurs Buying an HVAC Business
If you’re thinking of acquiring an HVAC company, Taylor’s advice is blunt: do your homework.
- Review P&L statements, EBITDA margins, and customer lists carefully.
- Get legal and financial advisors who understand service businesses.
- Expect emotional and mental strain; running an established company is very different from running a startup.
As for valuation, smaller companies typically sell at 2.5x EBITDA, while larger, stable businesses with $5M+ in annual revenue can sell for 7–10x. That gap is what fuels private equity profits.
The Path Forward
Taylor’s goal is clear: make Washburn Air the #1 HVAC company in Grapevine. He’s already in the top five on Google, but he’s not settling there. His focus is on refining SEO, building backlinks, and strengthening the company’s authority across all channels.
In his words, “You can’t outspend private equity, but you can outserve them.”
