Listing ID: 81598
This is a standout opportunity to purchase and own a high demand manufacturing process to produce Gorilla Composites structural building panels. The potential gross / net revenue for just 1 shift of production is $7,661,644.00 per year. If you reach full capacity your revenue will be $22,984,932.00 gross net! Gorilla Composites panels are the leader in the new low-carbon panelized construction for modular and manufactured housing to name a few. Addressing the high demand for low cost of construction and rapid build high-quality assemblies.
The Gorilla Composites stressed skin panel with an expanded impregnated honeycomb core is unique in its exceptional strength to weight ratio. These panels are manufactured to perform as load bearing walls, floors, roofs, and non-bearing walls. No framing is required with the construction of the Gorilla Composite Panels. Any finish can be applied after construction such as plaster board, stucco, simulated or real brick, stone, siding, or paint. The finishes can be suited according to local demands or regional appearances.
Structural Building Panels are manufactured on a proprietary production line. This intermediate structural composite (ISC), which is unique to this purpose, addresses all aspects of the construction and related industries. The production line is designed to produce one precision 4’ x 8’ panel every 60 seconds. Each line per shift will produce 120,000 panels per year on a 5-day work week, 50 weeks per year. The opportunity is to purchase one or more production lines and begin manufacturing in an exclusive, protected marketing territory.
This opportunity would be well fitted for someone with knowledge in the building trades or have a good understanding as to how to run a manufacturing business. You should have an existing facility, or the capacity to add-on to an existing facility and should also be familiar with and comfortable selling into the local building trade market. Experience with Architects, Civil Engineers, Planners, Surveyors and local building codes is an advantage, but not required.
- Asking Price: $1,520,280
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
The production machinery is 195 feet long. Additional space is required on both ends to accommodate input and output from the machinery. Each machine requires a team of 6 to operate per shift. Total capacity per machine is estimated at 450,000 panels per year maximum capacity.
Includes the machinery, shipping, installation, GCI product license and training.
Why is the Current Owner Selling The Business?
There are all types of reasons people decide to sell operating businesses. Nonetheless, the true factor and the one they say to you may be 2 entirely different things. For instance, they may claim "I have a lot of other obligations" or "I am retiring". For lots of sellers, these factors stand. But, for some, these might simply be excuses to attempt to hide the reality of changing demographics, increased competition, recent reduction in earnings, or a variety of other reasons. This is why it is very crucial that you not depend completely on a vendor's word, yet instead, use the vendor's response along with your overall due diligence. This will repaint an extra sensible picture of the business's existing situation.
Existing Debts and Future Obligations
If the existing business is in debt, which many businesses are, then you will certainly need to consider this when valuating/preparing your deal. Lots of businesses finance loans in order to cover items like stock, payroll, accounts payable, and so on. Keep in mind that occasionally this can suggest that profit margins are too thin. Lots of companies come 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 think about. There might be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with vendors that need to be satisfied or might lead to charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location bring in brand-new customers? Often times, businesses have repeat customers, which form the core of their everyday earnings. Certain factors such as brand-new competitors sprouting up around the location, roadway construction, and staff turnover can impact repeat customers and adversely impact future earnings. One crucial thing to consider is the area of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the highway? Certainly, the more people that see the business often, the greater the opportunity to develop a returning customer base. A last thought is the basic location demographics. Is the business situated in a largely populated city, or is it located on the edge of town? How might the regional median family earnings impact future revenue prospects?