Industrial Racking Manufacturer & Machine Shop For Sale$6.34MM Annual Sales
$480K EBITDA* 

Family owned since the early 1990's, the Business is a tier 2 supplier and manufacturer of OEM industrial racking and related products, with an additional medium and small precision parts machining and fabrication division.

 

* 2012-2018 Averages

 

Facilities:  The Business is located in an Eastern Iowa industrial area (potentially viable for Opportunity Zone advantages) and has over 100,000 square feet under roof on 4.25 acres, appraised at $1,900,000.

Equipment: The Business provides production and prototype manufacturing, modifications and repairs of reusable stackable shipping metal racks and containers. This Business specializes in deep drawing material for its customers, as well as production and assembly welding.  The Business forms steel with substantial brake and stamping presses and operates powder coating, wet and CARC painting lines.  The Business' equipment's FMV is appraised at $1,230,000. The Business carries approximately $675,000 of inventory. 

Staff & Marketing:  The employs 18-20 FTE and approximately 10 PTE, some as temp to hire. The team includes a second generation president, estimator-project managers, various operational supervisors, administrative staff and a single sales rep.  Non-labor staffing and supervisory average tenure is 12 years.  The CFO position has recently been filled by a temporary to work hire, and is an open position. And the Business has an opening for an Estimator.  The Business generates very little out-bound marketing and advertising and has a very thorough and useful, mobile ready, responsive website with capabilities video. 

Opportunity:  Growth opportunities include re-tooling current sales compensation standards, deploying an out-bound branding and marketing effort, investment in upgraded laser cutting equipment to cut thicker materials, and cost-accounting analysis of work products by customer and type. 

The Seller is seeking a strategic or financial buyer to acquire all of its assets or all of its S-Corp shares. Current second generation leadership is a non-shareholder and is very open to remaining in a leadership and/or business development role with new ownership. 

 

 Asking Price:   $1,600,000
2012-2018 Annual Sales Average:   $6,340,000
2012-2018 Annual EBITDA Averages: $480,000
Inventory:  $675,000 
FF&E:  $1,230,000 
Property Not Incl in Asking Price:  $1,900,000 

 

Metal Products:

  • Baskets
  • Carts
  • Component Parts 
  • Contracted Precision Metal Parts
  • Replacement Parts 
  • Shipping Racks
  • Shipping Containers 
  • Stack Racks

Customers & Markets:

  • Agriculture 
  • Automotive 
  • Building Materials 
  • Construction
  • Chemical
  • Distribution & Warehousing
  • Glass 
  • Military
  • Recycling
  • Rubber
  • Tire
  • Textile
  • Transportation 

Capabilities:

  • CARC Painting
  • Deep Drawing 
  • Fabricating 
  • Laser Cutting 
  • Machining 
  • Powder Coating 
  • Production Welding 
  • Shearing 
  • Sawing 
  • Steel Forming 
  • Steel Stamping
  • Weld Assemblies 
  • Wet Painting 

Accreditations:

  • CCR Registered
  • ORCA Registered
  • JCP Registered
  • FedTeds Registered
  • Certified ISO 9001-2015

Upon receipt of this completed and digitally executed NDA below, we will follow up by phone and/or e-mail to qualify providing the complete offering memorandum and schedule a time to discuss the opportunity further. 

Direct link to the NDA, here.