Guardian Alarm Makes 2 Acquisitions, Expands Michigan Footprint

SOUTHFIELD, Mich. — With a goal of expanding its footprint in Michigan, Guardian Alarm Company, based here, has acquired Alert Alarm of Royal Oak, Mich., and Allstate Alarm Systems of Detroit for an undisclosed amount.

Facilitated by Davis Mergers and Acquisitions Group, the transactions add more than 3,000 residential and commercial accounts to Guardian Alarm’s client base and bring in $72,000 in recurring monthly revenue (RMR). The deals might have never come about if the firm wasn’t actively involved in the Burglar and Fire Alarm Association of Michigan (BFAAM), Guardian Alarm President David Goldstein tells SSI.

“Basically, both companies contacted us,” he says. “We talk to a lot of companies at BFAAM, and we’re always looking to acquire. When the time is right, we tour people through our central station so they can get a feel of our family-type environment and the way we treat our customers. That gives us an edge up on a lot of other people that may be looking to acquire the local companies in Michigan.”

Started in 1930, the family owned and operated Guardian Alarm has offices in Michigan, Ohio, Florida and Ontario, Canada. The company, which owns a UL-Listed monitoring center, offers CCTV, fire/life-safety solutions, intrusion alarms, video badge/identification and biometrics for high-level access control to a 60% commercial, 40% residential client base. New customers can also benefit from Guardian’s 24-hour, same-day service, as well as video verification technology and the company’s guard response offering.

“The ordinance for the city of Detroit states that the police department will not respond to an alarm unless they have video verification or confirmation from a guard,” Goldstein says. “The two companies we acquired never offered guard response.”

After 42 years in the business, the two Allstate Alarm owners have decided to retire from the alarm industry. However, Guardian has added six Alert Alarm employees to its sales team, including two technicians.

“One of the things that made these deals really attractive to us is that both companies offered the same alarm equipment that we install and service, so we didn’t have to conduct any training,” Goldstein says. “Additionally, one of the Alert Alarm technicians had already been a Guardian employee seven years ago, so this is like a coming home party.”

Because working with the BFAAM has assisted his firm in mergers and acquisitions activity, Goldstein, encourages all companies to join industry associations. Not only will doing so help alarm companies improve their businesses, but it also benefits customers.

“I’ve been in the security industry for 33 years now, so I’ve seen a lot,” he says. “A lot of people like to hold their cards close to their vests, so that’s why they don’t join these associations. We think it’s important to our customers if we gather all the information from everybody and best suit their needs through knowing what’s coming down the line in the near future.”


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