Listing ID: 72720
For 26 years this business has been manufacturing components for residential and small commercial construction projects as well as parts for OEM manufacturers in multiple industries. They have a Mitsubishi 4000-watt Laser and two Amada press brakes for cutting and forming metal. They produce an array of products from residential handrails to airplane firewalls, construction brackets to truck bumper and flatbed parts, motorcycle parts to construction columns and W-Beams. You name it, they’ve made it.
End users of their manufactured parts include Facebook, Apple, Zamp Solar, Expion 360, Emagineered Solutions, USFS, Deschutes County Law Enforcement, and ODOT.
Owners are retiring and will consider seller financing for approved buyers.
This business is SBA pre-approved.
- Asking Price: $1,100,000
- Cash Flow: $336,532
- Gross Revenue: $1,321,746
- EBITDA: N/A
- FF&E: N/A
- Inventory: $20,000
- Inventory Included: N/A
- Established: N/A
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:7
- Furniture, Fixtures and Equipment:N/A
The sale shall not include inventory valued at $20,000*, which ins't included in the suggested price.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why individuals resolve to sell companies. However, the genuine factor and the one they tell you might be 2 entirely different things. As an example, they might say "I have too many other commitments" or "I am retiring". For many sellers, these reasons are valid. But also, for some, these may just be justifications to try to conceal the reality of changing demographics, increased competitors, recent reduction in profits, or a range of various other reasons. This is why it is extremely important that you not count completely on a seller's word, yet rather, utilize the vendor's response along with your total due diligence. This will paint a more sensible image of the business's current situation.
Existing Debts and Future Obligations
If the existing business is in debt, which lots of businesses are, then you will certainly need to consider this when valuating/preparing your offer. Numerous companies take out loans so as to cover things like supplies, payroll, accounts payable, etc. Remember that in some cases this can imply that earnings margins are too thin. Lots of companies come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may likewise be future commitments to think about. There may be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with vendors that should be met or might cause fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area draw in brand-new consumers? Often times, operating businesses have repeat customers, which create the core of their day-to-day earnings. Certain elements such as brand-new competitors growing up around the area, road building and construction, and employee turnover can impact repeat consumers and also adversely influence future revenues. One crucial point to think about is the placement of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Certainly, the more individuals that see the business on a regular basis, the higher the opportunity to construct a returning consumer base. A final idea is the general area demographics. Is the business located in a densely inhabited city, or is it located on the edge of town? Just how might the neighborhood typical household earnings impact future revenue prospects?