Listing ID: 73060
Facility Included | Limited Competition | B2B Manufacturing
This outdoor products manufacturing company focuses on selling their own proprietary products as well as OEM parts. The founders/current owners have done a great job of product and customer development. They have a wide variety of strong sales to OEM manufacturers, vendors and retail customers. Current owners are ready to retire.
Outdoor products manufacturing and fabrication companies seem to be highly resilient in all market conditions. For 30+ years, this business has enjoyed a steady stream of revenue and profits. They produce high quality products that demand the highest production standards and aesthetic appeal. Their customers include a broad list of manufacturers, resellers and private individuals that demand the highest quality products in the world.
Well-equipped 4+ acre facility included in the sale.
To learn more about this outdoor manufacturer contact CBI Northwest Arkansas today
- Asking Price: $1,990,000
- Cash Flow: $304,799
- Gross Revenue: $1,400,287
- EBITDA: N/A
- FF&E: $500,000
- Inventory: $75,000
- Inventory Included: Yes
- 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
The deal does include inventory valued at $75,000, which is included in the suggested price.
Why is the Current Owner Selling The Business?
There are all sorts of reasons people decide to sell businesses. Nonetheless, the real reason and the one they tell you might be 2 totally different things. As an example, they may state "I have too many other commitments" or "I am retiring". For many sellers, these reasons stand. However, for some, these may just be justifications to attempt to conceal the reality of transforming demographics, increased competition, recent decrease in revenues, or a variety of various other reasons. This is why it is very essential that you not count entirely on a seller's word, however rather, make use of the vendor's answer in conjunction with your total due diligence. This will repaint a much more reasonable picture of the business's current circumstance.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of businesses are, then you will certainly need to consider this when valuating/preparing your deal. Numerous operating businesses take out loans so as to cover items such as supplies, payroll, accounts payable, and so on. Bear in mind that sometimes this can suggest that profit margins are too small. Numerous businesses fall under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may likewise be future obligations to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with suppliers that have to be fulfilled or may cause fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the area attract new customers? Many times, companies have repeat clients, which develop the core of their daily profits. Certain variables such as brand-new competitors growing up around the area, road building, and also personnel turnover can influence repeat customers and negatively affect future revenues. One important point to consider is the location of the business. Is it in an extremely trafficked shopping center, or is it concealed from the main road? Certainly, the more people that see the business on a regular basis, the higher the possibility to build a returning client base. A last idea is the basic area demographics. Is the business located in a densely inhabited city, or is it situated on the outside border of town? Exactly how might the neighborhood mean family income effect future revenue prospects?