Business Overview

This opportunity is a precision machining and injection mold company located in Northern Michigan. The Company specializes in the manufacturing of carbide and steel tooling for extrusion, deep draw, cold heading, and end form tooling markets.

The Company has obtained ISO 9001:2015 certification, demonstrating its ability to consistently provide products and services that meet customer and applicable statutory and regulatory requirements. One of the Company’s main goals is to provide strong, long-lasting products. The Company provides a consistent and precise manufacturing process by integrating the sourcing process for tooling seamlessly into its customers’ overall production goals.

After successfully operating the Business for 16 years, the Owner is looking to transition out of the Business to enjoy more time with family, golfing, boating, hunting, fishing, and supporting the Detroit Tigers. To ensure new ownership is successful and employees are taken care of, the Owner is willing to be flexible with the details of their transition.

Thank you for reading this overview. The extent of the information that we are publicly permitted to reveal about this opportunity is contained in this overview. Please submit your contact information in the provided form. We have automated the processing of NDAs and sending of information for speed and efficiency. You will be sent a link to our online NDA. IF YOU DO NOT RECEIVE THE NDA LINK, PLEASE CHECK YOUR JUNK MAIL. If the email cannot be found, please email info@caldergr.com and request a PDF version.

Once we receive your NDA and answers to some basic questions, the Confidential Information Memorandum (CIM) will be sent to you by the project manager.
IF YOU DO NOT RECEIVE A FOLLOW-UP EMAIL AFTER YOU SUBMIT YOUR NDA, PLEASE CHECK YOUR JUNK MAIL FIRST. If you do not see the email there, please email info@caldergr.com for support. Thank you in advance!

Financial

  • Asking Price: N/A
  • Cash Flow: $287,808
  • Gross Revenue: $1,577,009
  • EBITDA: N/A
  • FF&E: $1,095,600
  • Inventory: $23,130
  • Inventory Included: Yes
  • Established: 2005

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:N/A
  • Building Square Footage:5,000
  • Lot Size:N/A
  • Total Number of Employees:12
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The Company utilizes two facilities. One facility is owned by the Owner through a separate real estate holding entity and is 5,000 square feet. The second facility is leased from an unrelated third party and is 6,000 square feet. The two facilities are within walking distance of each other.

Is Support & Training Included:

Ownership is willing to provide reasonable and customary assistance during the transition period.

Purpose For Selling:

Ownership would like to retire.

Pros and Cons:

1. Substantial equipment base that can support up to $5M in revenue 2. 10+ year relationships with multiple customers 3. Ability to produce a wide variety of products for a plethora of industries

Opportunities and Growth:

1. Recruit new employees from local technical programs 2. Website and marketing improvements 3. Hire a dedicated sales staff

Additional Info

The venture was established in 2005, making the business 17 years old.
The deal does include inventory valued at $23,130, which is included in the suggested price.

The business has 12 employees and resides in a building with approx. square footage of 5,000 sq ft.

Why is the Current Owner Selling The Business?

There are all sorts of reasons people resolve to sell businesses. However, the genuine reason and the one they tell you may be 2 entirely different things. As an example, they may say "I have too many other responsibilities" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these may simply be reasons to try to hide the reality of transforming demographics, increased competition, current decrease in revenues, or an array of other reasons. This is why it is extremely important that you not count totally on a seller's word, however instead, utilize the seller's response together with your total due diligence. This will repaint a more practical picture of the business's present scenario.

Existing Debts and Future Obligations

If the current entity is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your deal. Many businesses borrow money in order to cover items such as inventory, payroll, accounts payable, so on and so forth. Bear in mind that in some cases this can suggest that earnings margins are too thin. Numerous companies fall into a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future commitments to consider. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with vendors that have to be satisfied or may lead to fines if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the area attract brand-new clients? Most times, businesses have repeat customers, which create the core of their daily earnings. Certain elements such as brand-new competitors sprouting up around the location, roadway construction, and employee turn over can impact repeat clients and also adversely impact future incomes. One vital thing to take into consideration is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the main road? Certainly, the more people that see the business on a regular basis, the higher the chance to build a returning consumer base. A final thought is the general area demographics. Is the business located in a densely inhabited city, or is it located on the edge of town? How might the regional median house income influence future revenue prospects?