Listing ID: 71464
HIGHLY MOTIVATED OWNER is ready to sell business and real estate.
Well established specialty metals and precision machining company. Full service, ISO-9001:2015 manufacturer and fabricator. From basic shielding products and casting to sophisticated CNC machined items and assembled construction of non-ferrous metals, this diversified company has an outstanding reputation. The business produces a diverse product line, from aerospace, military defense, medical to local contractor needs. The company has a long history of sustained earnings and strong cash flow.
This business provides excellent opportunities within its current customer base and has ample room for future growth and expansion.
- Asking Price: $2,200,000
- Cash Flow: $564,191
- Gross Revenue: $1,926,497
- EBITDA: N/A
- FF&E: $557,000
- Inventory: $100,000
- Inventory Included: N/A
- Established: N/A
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Located just South of Boston, MA near all major highways. The facility is located on a main road with 6,000+SF of office, production and warehouse space. Includes a large parking lot.
As needed for a smooth transition.
A well-established customer base and a strong reputation. Assets and employees are in place to grow this business. Several expansion opportunities are available.
The transaction won't include inventory valued at $100,000*, which ins't included in the suggested price.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why individuals choose to sell businesses. Nevertheless, the real factor vs the one they say to you may be 2 entirely different things. As an example, they may claim "I have way too many various commitments" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these might just be excuses to attempt to conceal the reality of changing demographics, increased competitors, current reduction in profits, or a variety of various other factors. This is why it is very vital that you not count entirely on a seller's word, yet rather, make use of the seller's answer in conjunction with your overall due diligence. This will paint a much more practical image of the business's current situation.
Existing Debts and Future Obligations
If the current entity is in debt, which lots of companies are, then you will have reason to consider this when valuating/preparing your deal. Numerous operating businesses finance loans so as to cover points like stock, payroll, accounts payable, and so on. Remember that in some cases this can imply that revenue margins are too tight. Many organisations come under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may also be future obligations to consider. There may be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that should be satisfied or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the area draw in brand-new customers? Often times, operating businesses have repeat customers, which create the core of their day-to-day revenues. Particular variables such as brand-new competition sprouting up around the area, roadway construction, and also employee turnover can impact repeat consumers and negatively influence future profits. One essential thing to consider is the area of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Clearly, the more individuals that see the business on a regular basis, the greater the chance to construct a returning consumer base. A final thought is the general area demographics. Is the business situated in a densely inhabited city, or is it located on the outskirts of town? Just how might the local median home earnings influence future earnings prospects?