Business Category: Non-durable Goods
City/Region: Wayne County
Listing Price: $500,000
Cash Flow: $173,869
Equipment Value: $16,000
Established in 1983, this high-margin wholesale and distribution Company offers a variety of metalworking lubricants and cleaners throughout the Midwest, Florida, and South Carolina. The Company also provides chemical management services – tracking compounds from procurement to final disposal. The Company’s longstanding chemical management service contract is with three Chrysler Plants.
The Company’s product offering includes drawing/stamping/blanking compounds, cutting/grinding fluids, metal component cleaners, rust preventatives, and maintenance/forging/metal forming lubricants. All products are available in an array of quantities, allowing the Company to service its customers regardless of their specific needs.
Diversification of customers is a significant asset to the Business since sales are not reliant on a single customer demographic.
The Company is currently owned by two owners, 50%/50% respectively with a managing owner and absentee owner. Minimal owner involvement is sufficient to operate the Business successfully. The current managing owner performs all business activities by working 8 to 10 hours per week while producing solid earnings margins. Minimal day-to-day operational involvement creates an opportunity for a more active owner to step in and grow sales and earnings.
The managing owner performs all tasks at a home-office, negating the needs for an expensive facility. The Company does not have to deal with recurring rent or utility and maintenance payments, which keeps overall costs low. Plus, the Company runs effectively with only one full-time employee.
Opportunities For Growth:
(1) Leverage Existing Chemical Management Contract
(2) Additional Workforce
(3) Expand Product Offering
(1) Well-Established Business with Longstanding Customer Relationships
(2) Minimal Owner Involvement with High Earnings
(3) Longstanding and Lucrative Chemical Management Contract
(4) Diversified Customer Base and Geographic Presence
Real Estate Available: N/A
Reason For Sale: To focus on other business opportunities
Number of Employees: 1