Hybrid consolidator model: subcontracting to quality local firms vs outright purchase

The column observes that modern HVAC/R consolidators sometimes operate a hybrid model, subcontracting to quality smaller firms rather than only purchasing them outright.

“Yes, they do purchase smaller firms outright from time to time, but I have noticed that they have learned that simply finding a smaller firm in the market that is known for its quality and integrity and then essentially sub-contracting to them works just as well.”

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