Business Overview

Scientific Products and Software Company:

Great opportunity to ride the new wave of technology with embedded artificial intelligence. Become a majority owner of a successful high-tech company with the potential to become a multi-$MM.

This company has a track record for developing and commercializing next generation Optics, Photonics and Biomedical products and software. Their specialty is in real-time optical monitoring/diagnostic, machine learning, mathematical modeling and adaptive control using patented hardware and software. Currently, the company has 3 commercial products, manages multi-$M federal projects and owns 8 seminal patents in next-gen advanced manufacturing with AI. It is also a co-owner of a corporation that manufactures a popular optical device used in process control of cannabis extraction and distillation.

The company is also a GSA contractor to the US government.

Internationally recognized engineering team with a focus on new product development and custom software. The founders and the team comprise PhD specialists in Physics, Math and Computer Science and intend to remain with the company as minority owners.

The company needs M&BD expertise for rapid market penetration. Strong M&A candidates will demonstrate capability for rapid expansion of sales by adding solid marketing, BD and sales experience and ability to leverage existing and new opportunities in semiconductor, aerospace, biomedical and environmental industries and federal institutions.

Listing Details

· Price: $4,000,000 for 2/3 of the company – Seller open to different transactions pending negotiations.

· Down Payment: $2.5M / TBD

· Sellers Discretionary Earnings: TBD

· Total Sales: $1,250,000 to grow to >$8M by 2024

· Location: Maryland

· Inventory: $180,000

· FF&E: $200,000

· IP value: TBD

· Employees: 6

· Reason for Selling: Position the company for rapid growth

· Category: Engineering

Financial

  • Asking Price: $4,000,000
  • Cash Flow: N/A
  • Gross Revenue: $1,250,000
  • EBITDA: N/A
  • FF&E: $200,000
  • Inventory: $180,000
  • Inventory Included: Yes
  • Established: 2008

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:2,000
  • Lot Size:N/A
  • Total Number of Employees:6
  • Furniture, Fixtures and Equipment:N/A
Purpose For Selling:

Growth

Additional Info

The business was established in 2008, making the business 14 years old.
The sale shall include inventory valued at $180,000, which is included in the requested price.

The company has 6 employees and resides in a building with disclosed square footage of 2,000 sq ft.
The building is leased by the business for $2,500 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons why individuals resolve to sell companies. However, the genuine factor vs the one they say to you might be 2 completely different things. For instance, they may state "I have way too many various responsibilities" or "I am retiring". For numerous sellers, these reasons are valid. However, for some, these may just be reasons to try to hide the reality of altering demographics, increased competition, recent reduction in revenues, or a variety of various other factors. This is why it is really vital that you not count entirely on a seller's word, but rather, make use of the seller's response combined with your overall due diligence. This will paint an extra sensible picture of the business's present scenario.

Existing Debts and Future Obligations

If the current business is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your offer. Numerous businesses take out loans with the purpose of covering things such as inventory, payroll, accounts payable, and so on. Keep in mind that sometimes this can suggest that revenue margins are too tight. Lots of companies fall under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may likewise be future commitments to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with suppliers that need to be fulfilled or may result in charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the location attract brand-new clients? Often times, operating businesses have repeat customers, which develop the core of their daily revenues. Specific aspects such as brand-new competitors growing up around the location, roadway construction, and personnel turn over can impact repeat consumers and negatively affect future incomes. One important thing to think about is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business often, the greater the opportunity to construct a returning consumer base. A last idea is the basic area demographics. Is the business situated in a largely populated city, or is it located on the outskirts of town? How might the local median house income influence future income prospects?