America's new millionaire class: Plumbers and HVAC entrepreneurs

My dad bought a failing HVAC business 30+ years ago, then made it profitable over the years and sold it back to his employees last year. He had the option to take a few highly lucrative PE deals, but it was clear they would squeeze the life out of the employees and customers he had worked hard to support over many years. I can’t imagine how low quality this kind of trade work will become if PE owns them all. It will be similar to vet, dentist, and dermatology clinics which now feel like factories that don’t care about the humans on the other end - often employing fear tactics and sales quotas to incentivize upsells.

> often employing fear tactics and sales quotas to incentivize upsells

This already happens. The most common AC repair needed is a new capacitor. It's a $20 part.

Call your dad's business, you probably get a quote for $100-ish and it's fixed in ten minutes.

Call a PE owned shop and they are likely to tell you that your entire system needs replaced. Quote $5-$8k.

Reports like this are already common place, and the roll-ups of former small-businesses in industry like HVAC that the PE people celebrate will only make this worse for customers.

Could someone ELI5 why AC capacitors are so fragile? I had one fail last year on a unit that was just out of warranty.

Most are electrolytic for practical reasons including cost and available capacity+voltage rating. Electrolytes in the capacitors dry out in the hot weather as well as other things like other components going bad and drawing too much current, both of which cause further overheating. Overheating makes the electrolyte dry even faster (making the capacitance plummet and resistance increase, i.e. stop capacitoring) and generate gasses (=>swell/pop).

Tldr hot weather is hard on them. They have a finite lifetime and suffer most when you need the AC the most.