Light Engineering Company Provides Services Including Fabrication For Sale

Business description

Light Engineering Company Provides Services including Fabrication, Welding, CNC, Welding, Machining and Site Services.

The company was established in 1982 and was subject to a management buy out by the existing directors in 2000.

Acting as a sub contractor it carries out a full range of in house engineering services that include fabrication, welding, CNC and conventional turning, milling, horizontal boring and drilling using general and stainless steel and aluminium.

Projects with individual sections of up to ten tons in capacity are undertaken and completed by the workforce of skilled and semi skilled operatives. They also offer site services for installation and construction of steel work providing labour, materials and all equipment.

All personnel working on site have Passport to Safety cards and are well versed in working to CDM regulations.

The business has a core client base of around twenty-five clients some of whom are the largest blue chip companies in the UK. The vast majority of the turnover is generated and completed within a thirty miles of the operations base in South West Wales.


Equipment:

Webster and Bennett vertical Lathe
Kingsland 70X5 Hydraulic Steelworker
Geka Hydraulic Steelworker
Three roll bender
MIG / MMA Welding sets
Tig welding
Over head crane with 2.5 tonne capacity
Stanco Lathe
Excel Heavy Duty Lathe (XL40)
XYZ 2200 Lathe
TOS Lathe
Union BFT80/2 Horizontal Borer
KR-V3000 Turret Milling Machine
Zaklady Przemylowe Milling Machine
Slotting Machine
Radial Arm Drilling Machine
Elgamill Type Bed Milling Machine
Yamasaki CNC Lathe
King RKH CNC Milling Machine

Vehicles

One Ford Flat bed lorry
One Pickup
Thee Vans
One leased car
All vehicles are sign written

Customer Service:

The business has built itself a reputation based on sound management, excellent and well-based industry experience. Sound trading history with quality staff, quick response times and excellent levels of efficiency and workmanship. Its geographical location also gives it a competitive advantage and excellent access to consistent levels of commercial opportunities.
Of significant benefit to any purchaser would be the willingness of the existing Managing Director to stay with the company for an agreed number of years to maintain customer relations and develop the business further.

Key Strengths:

Long established
Excellent location
Quality staff
Broad range of services
Retention of key personnel
Consistent turnover
Blue chip clients
ISO 9001 registered

Financial Information:

The business is being offered for sale on a going concern basis, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler. Turnover for 2008 was in the region of £1,500,000 which generated gross profits of around £320,000. Shareholders funds stand at £260,000. The business did not record a profit in the last financial year but has cash in hand at the bank and has invested heavily in the directors pension scheme.

Property information

Property:

Leasehold

Location:

The business operates from a secure site covering around one and a quarter acres. The leasehold buildings consist of four offices, one conferece room, two fabrication shops, one workshop and machine shop, toilets and kitchen facilities.

Business Operation

Competition / Market:

The business does not actively advertise its activities

Reasons for selling:

This is a balance exit strategy. One director is of retirement age with the managing director being willing to stay with the business for an agreed period if required.

Employees:

Two directors One site manager One estimator Two admin staff One maintenance and site supervisor Three machinists One improver One apprentice One welder (Aluminium and Stainless ) Two fabricator welders Three semi skilled fabricator welders One store man One driver labourer

Years established:

1982