Mfg. - Stone, Clay, Glass, Concrete | Retail - Blding Mat., Hardware, Garden

Asking Price	$400,000	Inventory	$10,000; AcctsRcv $38,000*
Gross Income	$856,354	Real Estate
Cash Flow	$206,508	Year Established	1986
FF&E	$225,000*	Employees	10

* included in the asking price

** not included in the asking price

This business is a growing manufacturer of products used in home remodeling and new construction. Business has thrived despite a lull in new construction as homeowners spend money to remodel and update existing homes. The company s products are high-quality alternatives to higher-priced products in the same market, featuring rich appearance, durability, and ease of installation. 50% of sales are upgrade versions of the base product. Relative to market alternatives, these products are much more affordable, yet still carry gross margins averaging 43% over the last 3 years. The business has an exclusive relationship with the vendor of the key ingredient in the upgrade products that makes this company the only provider in the region. Regional radio advertising has increased awareness and new displays at a local home show warehouse are generating additional leads. Sales were up 38% in 2005, 34% in 2006, and 12% in 2007. The company operates in a 6000 sq. ft. facility that houses manufacturing, two offices and a small showroom. On staff are one manager and eight craftsmen, along with the owner. The owner would like to stay on as an employee to ensure a smooth transition and help the business grow even more.

Facilities: 6,000 sq. ft. manufacturing facility including two offices and a small showroom.

Competition: Price reduced from $800,000! This business is the quality leader in the market area, competing with three other providers of products also used by this customer set. However, this business is the only licensed manufacturer of an upgrade version of the base product, an upgrade that now makes up 50% of sales at a higher income and margin rate than the standard product.

Growth/Expansion: Sales and profits have grown steadily as new home buyers and remodellers choose the rich look and high quality of these products over alternatives.

Support/Training: 40 hours of transition assistance is included in the asking price. Owner would also like to stay on as a key employee in order to participate in the continuing success of the business.

Reason Selling: Personal