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Premium Wall Block And Paver Manufacturer For Sale

US
Asking Price:
On request
Sales Revenue:
$3,900,000 (USD)
Cash Flow:
$2,500,000 (USD)

Walking into this company's 8,000 square foot manufacturing plant, one might be surprised to learn that the business began as a two-block machine operation 30 years ago. Today, the plant is nearly fully automated not only in its manufacturing capabilities, but with product loading, unloading, palletizing, and shrink-wrapping as well.

The company has developed its own niche market, specializing in interlocking concrete retaining wall systems and high-end paver solutions. While 80% of business is generated using another company's quality proprietary product, the company manufactures its own full line of pavers as well. For all products, the company has worked diligently with the right customer base to maintain a high profit margin, and has avoided selling product in big box stores due to poor profit margins. The company's focus has always been on strengthening their high-margin distribution network by selling quality product through professional landscape yards.

Beyond the company's commitment to creating quality high-margin products, what's perhaps made the company most successful is their ability to form and maintain relationships with a diverse group of key customers, including landscape yards, engineering firms, property developers, and the Department of Transportation in two states.

Repeat customers have provided consistent work, and a growing housing market backed by a strong economy have additionally yielded significant revenue growth over the last three years. The owner is confident the company is already positioned to double revenue in 3-5 years, as long as the economy stays strong and doesn't experience any catastrophic collapses.

Notably the company has weathered poor economic conditions in the past, coming out stronger on the other side. During the 2008 recession, residential business slowed down, but the owners capitalized on the downtime by buying new equipment from struggling competitors, which ultimately positioned the company for a profitable surge once the economy recovered. In addition, during economic dips, the government still tends to invest in infrastructure initiatives, so DOT contracts aren't expected to slow, no matter the economic conditions.

So far, the region-wide property value boom hasn't shown any signs of tapering. The general building and construction industry is also experiencing unprecedented growth, and this company's property developer partners are especially optimistic. The question at this point isn't one of demand, but how to best accommodate and best capitalize on the wave of current and future demand.

The manufacturing facility is currently running at about 50% capacity, with ample room for operational expansion - including open real estate onsite, zoned heavy industrial. A buyer of the business could leverage the available space by diversifying existing product lines, adding new manufacturing equipment, and implementing more automation solutions.

The owners are choosing to sell at this time in order to slow down, tackle new ventures, and spend more time with family.

For more information, please visit goexio site, locate the listing, and select "Get Private Access" to sign an electronic NDA and unlock private details such as a video Q&A with the owner, SWOT analysis, full company financials and more.

Property Information

Location:

West Coast USA

Premises Details:

8,000 sq. ft. facility on 3 acres

Size in square feet:
8,000

Business Operation

Reasons for selling:

Owner is approaching retirement.

Employees:
16
Years established:
1991

Other Information

Support & training:

The owner is willing to remain through a reasonable transitionary period.

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