Custom Manufacturer of Premier Wood Furniture For Sale

Business description

The March Group currently represents a minority shareholder of a family-owned and operated manufacturer of industry leading, high quality, custom designed, hand assembled wood furniture serving primarily the hospitality industry for more than three decades. This shareholder, who heads sales and operations, intends to acquire the Company and is seeking capital to facilitate this acquisition. Backlog as of February 1, 2009, exceeded $2.2 million. The Company achieved $7.5 million in revenue and $1.36 million in EBITDA in FYE February 2009; poised to achieve $7.6 million in revenue and $1.605 million in EBITDA in FYE February 28, 2010, representing an 18% increase in EBITDA over FYE 2009. The customer base is composed the casino hotels/resorts industry and major high-end hotels and golf resorts, with a strong foothold on residential buildings and furniture retailers (private label). The owner believes that there are numerous opportunities to accelerate the Company’s growth, including expansion of the Company’s manufacturing capacity and customer markets, and enhancement of its suite of product offerings. The Company plans to aggressively expand its upholstery products division, which represents excellent opportunities for growth with very favorable gross margin potential. Company provides a one-year warranty against defects in materials or construction on all furniture which includes custom, standard, private label wood furniture and a small but growing percent of upholstered furniture. Highly experienced staff of approximately 70 office and manufacturing personnel and engineers. All design work is done in-house or provided by the client. The current facility is a 65,200 square-foot plant located on 15 acres of land; the real estate is not included in the proposed transaction. However, the owners are amenable to selling the real estate as part of the transaction. Honesty and loyalty to customers and employees are keys to their success along with a reputation for creative thinking and solutions to a wide array of design challenges. Woods used in most applications consists of white maple, pine, alder, cherry, mahogany, and walnut. Most business is secured through bidding with one fifth being obtained through negotiation. Strong/solid relationships with purchasing agents.

Property information

Premises details:

Operates from a 65,200 square-foot facility on 15 acres (owned free and clear in a separate entity by the family); the owners are amenable to selling the real estate as part of a transaction.

Size in square feet:

65,200

Other information

Support & training:

Available to remain with new management to help take the Company to the next level.