Listing ID: 73031
Well run machine shop using CNC turning/milling centers and Swiss Screw Machines to manufacture specialty parts for auto racing industry, farm equipment and custom parts. Baird Press/Header used to manufacture projectiles and supplies for ammunition re-loaders.
This company was founded in 1983 and continues to grow. They have several CNC Machines, Screw Machines (some operate lights out 24/7) and a Baird 325 Press
They produce over 450 products for auto and kart racing, many of which they hold patents for. They are also the exclusive supplier of lug nuts for NASCAR for Xfinity Series and Truck Racing Series. They also produce products for agricultural equipment.
They produce projectiles for the ammunition reloading market, clean brass for resale and are licensed for live ammunition as part of an expansion plan.
Employees ware well trained and low cost due to rural location. There is a foreman on staff that runs the complete day to day operation. Currently two manufacturing engineers on staff. CAD/CAM is used in design, quoting and manufacturing of all new projects.
Large pipeline of work and quotes.
Seven patents, one of which was recently upheld in an international infringement lawsuit.
Owner is willing to phase out over a period of time with compensation.
SBA 7A Loan Pre-Qualified.
Please contact Richard Roberts by using email form to the right or by calling his direct number,479.689.4455 Ext 11.
NOTE: The phone number to the right that is revealed when you click on button is not our phone number. It is a tacking number that we do not use.
- Asking Price: $2,933,720
- Cash Flow: $810,000
- Gross Revenue: $2,554,500
- EBITDA: N/A
- FF&E: $293,000
- Inventory: $748,720
- Inventory Included: Yes
- Established: 1983
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:16,600
- Lot Size:N/A
- Total Number of Employees:10
- Furniture, Fixtures and Equipment:N/A
Building constructed for this shop and is laid out well for smooth material and work flow. Building available for long term lease or purchase.
As agreed. Owner open to being phased out over a period of time.
Niche market with little competition. Manufacturing returning the USA.
Very active large pipeline of bids and work with low rural labor cost.
The company was established in 1983, making the business 39 years old.
The deal shall include inventory valued at $748,720, which is included in the listing price.
The company has 10 employees and is located in a building with estimated square footage of 16,600 sq ft.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people decide to sell companies. However, the real factor and the one they tell you might be 2 entirely different things. For instance, they may state "I have too many other responsibilities" or "I am retiring". For lots of sellers, these reasons stand. But also, for some, these might simply be excuses to try to hide the reality of changing demographics, increased competitors, current reduction in revenues, or a range of other factors. This is why it is really vital that you not count entirely on a vendor's word, but rather, utilize the vendor's solution together with your overall due diligence. This will repaint a more reasonable picture of the business's present scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous companies are, then you will certainly need to consider this when valuating/preparing your deal. Lots of operating businesses borrow money so as to cover points such as inventory, payroll, accounts payable, so on and so forth. Bear in mind that sometimes this can mean that revenue margins are too tight. Many businesses come under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future commitments to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with suppliers that have to be fulfilled or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location draw in new consumers? Most times, operating businesses have repeat consumers, which develop the core of their day-to-day profits. Specific variables such as brand-new competitors sprouting up around the area, roadway construction, as well as personnel turnover can impact repeat clients and also negatively affect future revenues. One essential thing to take into consideration is the placement of the business. Is it in a highly trafficked shopping center, or is it hidden from the highway? Undoubtedly, the more individuals that see the business often, the higher the opportunity to build a returning client base. A last thought is the basic area demographics. Is the business located in a largely populated city, or is it located on the outside border of town? How might the local typical family earnings effect future earnings potential?