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Advert Ref: 1855

Hydraulic Tool Producer In Texas For Sale

Details: Asking price:Undisclosed; Sales revenue:$3,050,000; Net profit:$788,000; Fixtures value:Undisclosed; Inventory value:Undisclosed

Business description: The March Group currently represents a well-established and highly profitable company specializing in the manufacture of a proprietary line of hydraulic tools for industrial applications across multiple markets. Products are sold worldwide to multiple markets including transportation, offshore oil, government, manufacturing and power generation. The Company’s tools are frequently used for applications relating to turbines (gas, steam and wind), engines, generators, presses, pumps, and other machinery. ISO 9001:2000 registered firm. Subcontracts the manufacturing process, primarily through a machining operation; assembly and quality control procedures are performed in-house. Excellent reputation for quality products and superior customer service has resulted in long-standing relationships and significant growth in recent years. Sales between 2006 and 2008 increased from $2.49 million to $3.05 million, representing a CAGR of 10.7 percent. Profits have also increased over the same period, with EBITDA increasing from $540,271 (21.7 percent margin) in 2006 to $787,769 (25.8 percent margin) in 2008. Given investments by new management, there are compelling opportunities to increase the Company’s business well beyond current levels.

General information: Years established:23; Employees: 5 FT, 1 PT; Relocatable: This business can be relocated.; Competition / Market:Specific areas for growth include: aggressively pursuing business development efforts to accelerate organic growth, establishment of a tool rental and service division, and acquiring local/regional competitors to round out the product line.; Support & training:The owner could make himself available as a consultant to further enhance the ownership and management transition.