Venerable Old Banjo Company For Sale

Business description

J. A. Sloan & Son is known all around the world for the fine stringed musical instruments that have borne our name for over half a century. We can honestly claim to be one of the best known small luthiers on Earth. There are several reasons we stand out from the crowd: 1) the tone of our instruments is superb 2) Our wood work is unsurpassed 3) We have kept our prices affordable and 4) we are the only musical instrument maker that has come up with a viable, practical and durable folding banjo, and we have done this THREE times. My father, John A. Sloan, invented the world's first folding banjo, Fold a Jo, in 1970. Since joining my dad in the creation of banjos, I have continued the tradition by inventing first Travel Jo, and most recently Jo2Go. While Fold a Jo and Travel Jo are great instruments, Jo2Go is the folding banjo perfected. It is feather-light (4-1/2 lbs) and folds in 10 seconds small enough to place in a carry-on bag with inches to spare. And its voice is excellent enough for a professional musician to play in concert. Also, and maybe most attractively from a business standpoint, I have struck up a deal with large musical instrument manufacturer Gold Tone to provide imported parts and hardware for Jo2Go, giving this instrument the potential for excellent profitability. In truth, 90% of our inquiries for the past few years have been about our folding banjos. They have attracted a lot of attention already, and I have not even begun advertising Jo2Go yet. More good news, however, is that advertising on banjo related websites is an excellent value and provides very good results. The reason I have not advertised Jo2Go is that I only invented it in July of 2011 and the ensuing 6 months were spent developing the design, making a finished prototype and creating all the jigs and molds necessary for mass-producing the various components. This is all completed now; Jo2Go is easy to make and ready to produce in quantities.

But this company is not limited to folding banjos. Our traditional or standard instruments are respected internationally and cherished by their owners around the world. Banjos made by my father and later on by me are regarded as high end instruments, even though many of the "assembly line banjos" turned out by larger companies come with higher price tags. Our banjos have also tended to increase in value. One reason for this is that my father only made several hundred instruments in his entire career, with only 35 of these being Fold a Jos. As far as we know, none of our instruments has suffered from any sort of catastrophic failure. We built every one to heirloom standards with the idea of each one lasting for centuries. So far, so good. Jo2Go is the only banjo ever made by us having components made by another company, and this has been done only in order to keep the price very low. Jo2Go necks, still made in our shop, can be upgraded to include any option available in our traditional banjos, including a steel or fiberglass reinforcing rod for extra warp-resistance. But the price to replace a base Jo2Go component is very low should any fail. Also, the idea of having these necks made in Asia for pennies on the dollar is a distinct possibility. But my advice to anybody purchasing J. A. Sloan & Son is to continue the tradition of making the company's standard banjo components in the U.S.A. We have for many years appealed to customers who appreciate the limited production hand-made nature of our banjos. To quote one very dear Japanese customer, "J. A. Sloan & Son is one of American treasure." (grammar provided by Mr. Ishikawa.) Also, the potential is there to make any other stringed musical instruments the buyer desires, including guitars, ukeleles, etc.

J. A. Sloan & Son is being offered as a turn-key banjo making business, right now operating in New Waverly, Texas, as a sole-proprietorship. The business includes 3 large, vintage engine lathes, "Bessie" is a WWI era Niles screw-cutting Spindle type engine lathe, "Agnes" and "Matilda" which are both geared head WW2 vintage models made by LeBlonde. There is a Kent vertical milling machine, a much newer Chinese imported vertical/horizontal combination milling machine on which our gang fret cutter is installed, a Shopsmith Mark 5 with table saw, belt sander, band saw and other attachments, a WWI era bench top lathe, a Craftsman 48" jointer, a Craftsman wood cutting band saw, two metal cutting band saws, a router table and 3 drill presses, plus tooling and collets for every imaginable application. There are specialized jigs, templates and forms of every kind necessary for the making of banjos, plus a steamer for bending wood, a large vertical air compressor and spray equipment and portable spray booth for applying lacquer. There are many heavy duty shelf units, a full studio for producing duplicated bronze, silver or gold castings, complete with wax injector, burn out kiln, Oxy-propane casting torch, Presto-Lite acetylene torch, vacuum chamber and pump, and centrifugal caster, plus an arc-type welder with cables. There is even a Clark high-reaching forklift to be included. You won't need this for banjos, but it comes in really handy when re-arranging the shop and moving those big lathes around. All of the listed items are in excellent working condition and, being classics, tend to reaffirm our "Hand Crafted" reputation.

In addition to the machines and equipment already listed, there is a good stock of various hardwood used in the making of quality banjos, including enough African ebony to make probably 50 fret boards, plus mahogany and thousands of dollars worth of veneer. More importantly, there are roughed out banjo components as follows: 100 or so necks of varying types, (5 String, Plectrum, Long Neck and Tenor banjos) all constructed primarily of Honduras Mahogany and laminated, in my dad's tradition, with triple center stripes of maple and purple heart, most with fret boards already installed, and probably 60 usable banjo rims. At the price of our finished banjos, this stock of parts alone, when completed and assembled, is worth the price I am asking for the company. In addition to all the tools, materials and partially finished instrument components already mentioned, I will include 6 months free use of our building plus all of my notes and drawings plus 2 full months of banjo-making instruction for any buyer I strike a deal with. Our website, JASloanBanjos.com will also become the property of the new owner. After 6 months, buyer is welcome to lease our 1800 s.f. dock-high, insulated and climate controlled building for $650.00 a month or to move the business as desired. The name J. A. Sloan & Son can be retained or changed as you wish.

There are several types of tone rings and all the components necessary to make a dozen or so of my dad's original Fold a Jos should the buyer choose to resurrect this classic. I once had the pleasure of talking with Janet Deering of Deering Banjos. When I introduced myself and my company, she responded that she was not familiar with us. Then I said to her, "You mean you never heard of Fold a Jo?" "Oh!" She responded, "I've heard of THOSE! And" she said, "I've heard nothing but good things about them!" As I like to point out, we have been making banjos longer than Deering, longer than Ohm, Gold Tone, and a long list of others. Back when my father was doing everything, he never really took it beyond the level of prolific hobby. But he kept his nose to the grind stone and made a lot of banjos, for which he is well known. I have tried to build on my dad's legacy and have worked hard to establish our name further and to surpass his reputation for quality.

Finally, this would be a perfect opportunity for a couple (think Wayne and Robyn Rogers of Gold Tone, or Bob and Janet Deering) or for a family. In the hands of someone with good business sense, I believe this company could become a major contender in the musical instrument world.

Property information

Living accommodation:

New owner may sequester off part of the workshop for living quarters, if desired. Free 6 months use of building is included at full price.

Location:

2620 Interstate 45 South, Unit B, New Waverly, TX 77358

Premises details:

1800 s.f. dock high metal building built in 2007, 12' eaves, insulated and climate controlled (a/c & heat) plus one bathroom and utility sink. Two 10' x 10' glass overhead doors with double sliding security shutters. Location is in small warehouse park fronting major freeway that connects Dallas and Houston. No real estate is included in this sale.

Other information

Expansion potential:

The sky is the limit. A savvy business person could turn this business into another Gibson, Deering, or the like.

Competition / Market:

Deering, Gibson, Gold Tone, plus several other major banjo manufacturers around the world. No competition for Jo2Go, Travel Jo or Fold a Jo. Closest thing to serious competition comes from Gold Tone in the form of their "Tranjo," but the Tranjo is generally regarded as undesirable by banjo players since it does not look or play like a real banjo. Also, it does not fold, but disassembles in order to become more compact. Gold Tone is poised to profit from their sales of parts to us for Jo2Go.

Support & training:

2 months training, 5 hours per day, included and I will offer 2 additional months of "on call" support free. Additional support and training is negotiable. Seller is a former college art professor and a skilled and effective instructor. Also, the craft is easy to learn.

Reasons for selling:

I am not a business man, and as a single person with many other demands on me, I find myself not being able to spend the amount of time with this business necessary to produce products and see profitability. As I have already stated, I feel this would best suit a married couple who would enjoy working together. One can handle production and the other can handle the website, inquiries and sales correspondence, packing and shipping, etc.,

Trading hours:

N/A

Owner financing:

Owner financing is available. Please contact the seller for more information.

Financing available:

Prefer cash, but will consider financing with terms being negotiable.

Furniture / Fixtures value:

$10,000 (included in the asking price)

Inventory / Stock value:

$150,000 (included in the asking price)

Website:

JASloanBanjos.com