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Listed by:

Neumann Associates

Cash Flow Rich Industrial Mechanical Contracting Firm For Sale

Central New Jersey, New Jersey, US
Asking Price:
$2,980,000 Furniture / Fixtures and Inventory / Stock included
Sales Revenue:
$4,000,000
Cash Flow:
$830,000

This well-known Industrial Mechanical Contracting Firm has provided quality HVAC, ventilation and sheet metal fabrication services to the central NJ region for over 25 years. The Company has achieved consistent revenues and enjoys high operating margins with documented profitability.

The Company has been fully reviewed and conservatively appraised by a well-known national valuation firm at 4.6x EBITDA. A full valuation report is included and there is $250,000 in Net Working Capital plus another $400,000 in Fixed Assets included in the deal. The business is pre-qualified by multiple SBA lenders subject to buyer’s financials, and by implementing the proposed deal structure an owner-operator will obtain more than $400k benefit in after-acquisition-debt cash flow or almost 70% ROI in Year #1.

(all data based on signed tax returns)

Property Information

Real Estate:

Lease

Premises Details:

The sellers’ 5,500 SF facilities (including sheet metal shop and warehouse) are perfectly suited to servicing the local target market.

Business Operation

Management type:
This business is owner operated.
Expansion Potential:

It is projected that a new owner will obtain compelling additional growth by expanding the direct sales efforts to serve a wider territory with a minimal personnel investment of $100k to $200k per year. The company projects an accelerated revenue growth rate under such premise of 20% to 30% per year.

Competition / Market:

The Company enjoys a competitive advantage by leveraging its locally recognized brand, niche industry expertise and impeccable reputation to provide its loyal commercial client base with an exceptional customer experience and fair pricing – stability and growth have been the result. This is a turnkey operation with experienced management and trained technicians in place plus an owner that is willing to stay on post-closing.

Reasons for selling:

Retirement (consulting available)

Employees:
12
Years established:
2000

Other Information

Support & training:

A comfortable six-months transition period will be provided by an owner who truly wants to continue to see the business flourish. A very well trained and highly qualified team will stay in place and support the new owner in all aspects of the business.

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

$0.6m Seller financing plus $1.8m Bank financing subject to buyer qualification

Furniture / Fixtures value:
$400,000 - included in the asking price
Inventory / Stock value:
$250,000 - included in the asking price