Medical and Commercial Plastics Distribution

Status
Sold
Close Date
Client Number
A272
Executive Summary

The long established company distributes a line of plastic components to a niche commercial and medical market with many high profile customer accounts. Gross revenues and profits have been steady the last three years with only a single trade publication used for bringing in new business. 2010 gross revenues are on pace to exceed 2009 full year results as the economy continues to rebound. Customer retention is a hallmark of the business and many accounts have become reliant on the Company as a supply partner. The Company has become well known throughout the industry for inventory availability, delivery and customer service.

Many opportunities exist to increase product lines and to add custom manufacturing to the current business model. The business is expected to draw interest from both financial and strategic buyers.

Financial Information
EBITDA: Earnings Before Interest, Taxes, Depreciation, and Amortization
  • 2009 projection is based on increases in year over year utility contracts in place and backlog orders as of 3/31/09.
Deal Structure
Price
Open to Offer
Company Assets

All the furniture, fixtures and equipment used in the business will be included in the sale free and clear of all liens. A list of major items is included in the full profile on this Company.

Also included in the price will be inventory of $750,000 -$800,000 (receivables and payables will be retained by the seller at closing).

Accounts Receivable: $0

Inventory: $750,000 - $800,000

Accounts Payable: $0

Capital Inventory: $750,000 - $800,000

At the closing, should the inventory figure differ from the agreed upon amount, there will be a corresponding adjustment in the purchase price. Cash in the bank is specifically excluded from this sale and will be retained by the seller.

Other Information
Location
Midwest
Ownership Type
S Corporation
Established
1950
Facilities

5,000 square feet

Employees
2