INDIANA-BASED ASSEMBLY AND AUTOMATION EQUIPMENT MANUFACTURER (NVC2186)

by | Jun 29, 2018 | Completed, Manufacturing

INDIANA-BASED ASSEMBLY AND AUTOMATION EQUIPMENT MANUFACTURER
This Indiana Company designs and builds high-end automation, assembly and test systems, including robotics, primarily serving automotive manufacturers. With a focus on continually developing skilled employees and applying the latest technology, the Company has seen rapid sales growth in the past several years. A history of quality service and support has developed long-standing relationships with key customers. Moving into complete lines and advanced assembly systems has positioned the Company for continued growth opportunities for new owners. The Company has a strong management team, and its current owner is willing to remain in a transition role for several years. Current backlog as of 10/19/19 is $9,500,000.
GROWTH OPPORTUNITIES
Expanding Markets – The Company’s transition to higher level automation and assembly systems provides on-going opportunities to reach new customers outside its current core market.

Fine-Tune Company Operations – Refining processes to increase efficiency and productivity along with a stronger supply base to control costs offer the potential for improved margins as the Company expands sales.

Grow Software Services – Continual expansion of its software development operations would enable the Company to grow their market of automation and assembly systems and integration to manufacturing customers.

INVESTMENT HIGHLIGHTS
Well-Established Record of Quality – The Company has a long history of skilled work and use of cutting edge technology, an approach that has positioned it as a high-level assembly system and automation integrator. It has preferred status with leading customers.

Outstanding Culture – The Company culture empowers employees to apply individual, creative thinking, rewards success and fosters a hard-working attitude. This results in a high level of service and support that

2019 Forecast Revenue: $11,500,000
2019 Forecast EBITDA: $2,500,000

Non-Disclosure Agreement

MICHIGAN-BASED SPECIALIZED DIE COMPANY

by | Jun 14, 2018 | Completed, Manufacturing

MICHIGAN-BASED SPECIALIZED DIE COMPANY
This Company is an industry leader in highly specialized die manufacturing. Putting to use the latest technology, the Company has developed a diverse market of manufacturers that require precision, durable dies. Expertise in production solutions and a willingness to meet manufacturers’ unique needs have generated a large customer base and excellent cash flow. As a leader in an industry trend that gives manufacturers better quality and more efficiency, this Company is well positioned for growth with an experienced workforce, excellent equipment and a modern facility. The owners are involved in day-to-day operations and have built this Company for more than three decades. They believe it is ready for continued success under new owners as they move on to the next phase of their lives.
GROWTH OPPORTUNITIES

Industry Innovation Leader – The Company’s ability to help customers develop unique manufacturing solutions has won over customers from some of the largest players in the industry.

New Market Potential – Expanded marketing efforts can reach new customers as more manufacturing sectors embrace the advanced technology supported by this Company.

Quality Equipment and Facilities – State-of-the-art equipment has been regularly updated in a modern plant that includes a recent expansion providing for an additional 50 percent production capacity.

INVESTMENT HIGHLIGHTS

Expertise in Production – The Company is known for high quality products supported by knowledgeable technical support. It has achieved top-level ISO certifications.

Highly Qualified Staffing – A well-trained, experienced workforce is led by managers committed to excellence.

Diverse Customer Base – The Company has a large, loyal customer base that is spread over multiple and diverse consumer product market sectors.

*** UNDER LOI ***

2016 Revenue: $5,900,000
2017 Projected Revenue: $6,200,000

2016 Adjusted EBITDA: $878,700
2017 Projected Adjusted EBITDA: $1,101,400

MICHIGAN-BASED VEHICLE SEATING PRODUCT LINE

by | Jun 6, 2018 | Manufacturing

MICHIGAN-BASED VEHICLE SEATING PRODUCT LINE

A Michigan-based manufacturer is offering for sale an OEM product line that has produced consistent sales and profits. The product is a federally-certified seating system component for a specialized market. A single customer currently accounts for steady year-over-year sales. The product offers untested potential for growth through marketing, particularly for a buyer with existing sales efforts in a related field. As the current owner moves to focus on other innovations, this product line is an excellent purchase opportunity for a manufacturer with existing capabilities in a related field or one looking to enter the vehicle seating field with a product that has steady sales and healthy margin.

GROWTH OPPORTUNITIES

Expanded Sales Through Marketing – A broader market has not been tapped; a company with an existing sales team could readily add this product to its marketing to reach new buyers.

Growth in Sales of Specialized Market – Current economic and demographic trends are driving record sales and projected growth in the end-product vehicles in which this product line is utilized.

INVESTMENT HIGHLIGHTS

Consistent Sales – This product is an essential component in the current sole customer’s production. Sales to that customer have been consistently strong the past five years.

Portable Turnkey Production – All tools, fixtures and process equipment for production are available and easily transported to the buyer’s facility. Production can be accommodated in as little as 2,500 square feet and with two dedicated employees. Vertical integration of component manufacturing of over $350,000 consisting of stamping, welding and roll formed components.

Limited Potential Competition – Tooling costs and product certification requirements present high barriers to entry for any would-be competitor in this limited market.

The product line consists of steady volume production with a 5-year average of approximately 8,150 units/year at roughly 700 per month. Nearly 100% of the sales are to one long-time sales channel within the RV seating industry. The product is a complex, high strength, tight tolerance mechanism with six axis articulation, which can be used as a valuable sales tool for value added work. Currently, the machining, welding, and roll-forming are outsourced, and the two dedicated employees provide value-add assembly at 0.46 hours per adjustor. Two operators can build, test, and pack 35+ units per 8-hour shift. All of the tooling is currently owned by the Company and is valued at approximately $1,000,000. Although not patented, the product line is protected because the tooling is owned by the Company, creating a high barrier to entry for a competitor.  The product line also must pass three safety tests of the National Transportation Safety Board (NTSB).

2018 Product Line Forecast:                          $1,382,550

2018 Product Line Gross Profit Forecast:      $481,111

 

Non-Disclosure Agreement

MICHIGAN-BASED LUMBER AND HOME IMPROVEMENT COMPANY

by | May 18, 2018 | Completed, Manufacturing

MICHIGAN-BASED LUMBER AND HOME IMPROVEMENT COMPANY

Founded decades ago, our client is a full service lumber company with multiple locations. They specialize in a number of services, including engineered wood products, home design services, specialty mill-work, and post frame building packages. There are separate divisions dedicated to contractor needs and home design planning services, also a showroom providing flooring, cabinetry and counter tops.

Their customer-centric philosophy continues to fuel growth and loyalty from the large customer base, reaching Michigan, Indiana, Ohio, Illinois, and other states. This friendly and knowledgeable staff has allowed them to continue growing during the infiltration of the national “Big Box” chains

GROWTH OPPORTUNITIES

Strong Local Economy – Unemployment in the Company’s market area is among the lowest in the state, while wages continue to increase and interest rates remain near record lows. Both residential and commercial construction are projected to continue to grow. With proper investment in marketing, growth of sales should follow growth in the local economy.

INVESTMENT HIGHLIGHTS

Community Institution – This Company has been developing its brand in its home market for over half a century, emphasizing good prices and local customer service. The Company has a customer list of approximately 4,000 accounts, including a high rate of repeat customers.

Strong Workforce – The Company has approximately 100 employees with average tenure of more than 15 years, including talented key employees who have received awards for interior and home design. These employees bring a strong base of community knowledge and history with customers.

Recent History of Sales Growth – Since coming out of the recession, the Company has seen five years of steady sales growth, with sales nearly doubling from 2010 to 2015.

2016 Revenue: $46,100,000

2016 Adjusted EBITDA: $2,190,000

WEST MICHIGAN-BASED DIGITAL STUDIO

by | Apr 23, 2018 | Service

WEST MICHIGAN-BASED DIGITAL STUDIO

This Company was among the early adopters who led the way in corporate web design and development services as well as mobile and web e-commerce applications. It has seen steady growth in sales thanks to evolving skill levels and a strong reputation based on an extensive and diverse portfolio of work. The current hands-on ownership team is looking to retire but is available to provide transition support for up to a year. This Company provides an excellent opportunity for an experienced manager wanting to operate their own business or for a similar enterprise seeking growth through acquisition of a strong staff and well-established customer base.

GROWTH OPPORTUNITIES

Expanding Demand – The evolving digital design industry continues to be in strong demand as business and industry shifts to e-commerce and web-based communication and customer service. The Company has a strong regional presence and also serves national and international clients.

Boost Marketing – Current sales and marketing efforts are minimal, with word of mouth generating most sales. Adding a sales person and marketing efforts built on the Company’s strong reputation could provide an excellent return on investment with growing sales.

Facility Space – Current offices, leased from a related third party, could be included in the purchase. Offices have about 30 percent or more of underutilized space depending on the re-configuration, offering potential for staff expansion to service significant levels of new sales.

INVESTMENT HIGHLIGHTS

History of Expertise – The Company’s portfolio is extensive as well as diverse, reflecting its long track record as well as its reputation for quality work. In addition, the Company’s skill set gives it an advantage over both competitors and in-house providers, including the ability to provide expert service at less cost to clients than if they did the work in-house.

Loyal Customer Base – Quality work and flexible customer service has developed a high retention rate among major clients, many of whom have been Company customers for five or more years.

2018 Revenue:                        $ 1,668,000

2018 Adjusted EBITDA:          $ 295,000

    

Non-Disclosure Agreement