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Broker presents an opportunity to acquire a traditional sawmill business. This business was able to generate revenues of $3.5 million during 2018 with only one mill running. This well-established sawmill business is presently operating with exceptional margins and has history of generating significant cash flow. Average EBITDA has been greater than $500,000 plus per year with only the cross-tie business. Annual revenues have been very stable for years with a limited and focused product line.
The sawmill was originally built to cut and build crane mats, oil field mats and laminated mats. However, as stated the current owner started operating the business with a focus on cross ties. As evidenced by the businesses consistent revenues this was a good decision.
However, a recent increase in pipeline and industrial construction has created a high demand and shortage of in these construction mats. The current owner has acquired nearly $1M in additional equipment and made upgrades so that the sawmill will be able to produce these mats that are in high demand regionally. This product line could be in addition to the already successful cross-tie business. The owner has excellent financial records, including tax returns, that will be made available only to serious and qualified buyer(s).
This business enjoys a very diverse and growing customer base including some international accounts. To meet the customers’ demands, the owner keeps a huge inventory of hardwoods on the ground year around. This keeps the company positioned to take advantage of large incoming production demands when they occur. The company has a diverse inventory supply chain providing more than ample inventory to meet the demand surges that this company faces. The company has long term qualified local staff already in place providing a strong workforce ready to work for the new owner. Additionally, the current owner is willing to stay on for an extended period as a manager / operator understanding this may be an extended transaction.
The real estate, which includes approximately 9 acres, will also be included in the sale of this profitable business. The owner has significant industry experience and is only selling as he looks forward to retirement.
NOTE: This product line and financial records will only be discussed with interested and qualified buyers having submitted a satisfactory financial statement and a signed standard confidentiality agreement.
Disclaimer: DealStream has not independently verified any of the information in this listing and makes no warranty as to its accuracy or completeness. This listing does not constitute an offer to sell, solicit or make an offer to buy an investment interest. Offers to sell, or the solicitation of offers to buy, any security can only be made through official offering documents, such as a subscription agreement and private placement memorandum.