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Sep 13, 2018Our client is a leader in the field of manufacturing highly precise, machined components. Our client uses the latest CNC-driven lathes and Master CAD/CAM software to manufacture custom plastic components for the aerospace, military, fluid handling, instrumentation, oil and gas equipment, semiconductor equipment, and medical industries. The Company has a stellar reputation and is well known for producing high precision plastic prototypes and custom plastic manifolds.

The Company’s revenues have been around $1.5 million between 2013 and 2016, but started growing nicely in 2017 and that growth has continued into 2018. During this time, gross margins increased from 35% to 42% and adjusted EBITDA increased to $318,138 in 2017 as the owner reduced costs and improved efficiency. 2018 projected revenues and EBITDA is based on annualized Q2 results.

The Company utilizes a small but highly efficient set of CNC machines and related equipment with a fair market value of $245,000 based on an independent 2016 appraisal. In addition, the Company purchased a new CNC machine this year for $120,000.

The Company has a staff of 13 full and part-time employees including its owner. The owner is in his 70’s and is active in the business. He would like to retire. He will work for the buyer for up to three months to ensure a smooth transition. The owner enjoys sales and marketing and would be interested in working part-time after the sale as a commissioned sales rep to help the new owner grow the business.

Additional information is available to qualified principals upon receipt of the attached nondisclosure agreement.

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