Building and Construction
Laminated Outdoor Wood Structures Design / Build Firm
Listing ID: STRUCTURE1
Annual Sales: $3,140,219
Seller Discretionary Earnings: $806,417
Target Working Capital: $35,000
Year Established: 1972
Days & Hours of Operation: M-F 7:30-4:30
Reason For Sale: True Retirement
Limited Seller Financing: Dependent upon total purchase price.
Listing Status: Active
This business has over 50 years of experience in the design and outsourced construction of prefabricated and custom laminated wood structures including bridges/pathways, structural beams and outdoor shelters and pavilions.
Customers include homeowners, municipalities, churches, horse farms, entertainment venues, golf courses and architects who integrate the company’s custom products into their designs.
The company has received multiple awards for their highly regarded custom designs and quality precision manufacturing. The company also offers a limited number of ‘off the shelf’ products.
Since entering a big box retailer, the pipeline of quotes has grown significantly filling the sales pipeline with projects from this retail partner as well as direct quotes with the largest backlog in the company’s history of approximately $12,000,000 of viable projects which is ~5x average of prior periods.
One quote to a local municipality is ~$3,000,000 which by itself would double the companies EBITDA from 2022 to 2023. Another local potential contract is outstanding for $5,000,000+. It is worth noting that the company’s fixed costs are covered at approximately the $2,000,000 annual gross sales level making any incremental projects net margin significantly higher.
Seller is seeking a component of earnout on the incremental quotes outstanding if awarded for sales and engineering costs incurred for those projects.
Believed to be formed originally in the 1950's the current owner purchased in 2011 at which time there were 300 employees and 300,000 square feet of manufacturing across two locations.
Manufacturing is now outsourced and has been optimized to maximize profits.
Competition:This company competes on a national basis with two primary competitors.
Growth & Expansion Opportunities:New owners could expand beyond eastern seaboard. New owners have an invitation to enter over 2000 big box retailers. This carries an unexpected benefit of being featured on the retailers website in all markets beyond the current 200 locations. Company currently has eight long standing dealers which could be expanded.
Competitive Advantages:This company benefits from its geographic location, extremely low overhead, margin enhancement due to manufacturing methodology and proprietary designs. The company has a self limited 200 location big box hardware retailers to prevent excess demand.
Monthly Rent: $2,000
Facilities Description:Operations are now virtual since COVID. All employees are currently remote and no hard wall office is required. However, there is a legacy lease for a location where once weekly meetings are still being conducted.
Full-time Employees: 5
Part-Time Employees: 2
Support & Training
Owner Qualifications:Buyer should have general business operating experience including HR, marketing, sales, accounting and contract negotiations or sub-contract/outsource as needed.
Support & Training:Owner currently works ~2-3 hours per week which can be remote. Additional employment or consulting may be arranged.