Manufacturer of Conveyors for Food Manufacturers / Material Handling

Seller Financing Available

HIghly Profitable Custom Conveyor Manufacturer & Installer for Food and Poultry

This 20 plus year old company manufactures and designs food processing systems and conveyors - belt systems include Straight, Incline and Spiral. Excellent reputation for quality of their products & service. They are able to quote fully installed jobs even when additional services are needed that may be millwright or construction modifications. Operating profit on the 2022 tax return is over $4M Million and the 2023 tax return is over $6.4 Million but forecast for 2024 will be less due to industry slowdown which is just temporary and tied to the product served for the conveyors. Price expectations exceed $20 Million. Principals Only, No Buyer Reps, No Exceptions. Offer is pending currently. Bill Law Listing Broker

While 90% of their products go into a certain segment of the food industry, they are well positioned to go into an even larger segment of a very similar food industry requiring similar but heavier duty conveyor systems. Thus, the business could double or triple in size with marketing efforts to this other sector.

The owner has some health concerns and will provide a 3 to 6 month transition but may be available for consulting there after There is not currently a #2 person in place to be promoted, but the owner is in discussions with someone he has in mind for the job that would be ideal. The 2022 tax return reflects sales of $18.7 Million with $4.8 Million in net ordinary income (Cash flow exceeds $5M) while sales through the first 8 months are almost $14 Million but have $5.7 Million year to date profits. Seller is looking for a deal in the 4.5 to 5 X range on adjusted earnings. Principals Only - No Buyer Reps - No Exceptions. Bill Law cell 704-904-6624 bill@sunbeltbrokers.biz

There is no formal asking price but the Seller does have price expectations of something close to a 5 X multiple on adjusted earnings. The owner is receptive to all fair and reasonable offers. Some Seller Financing may be considered on a Buyer for Buyer basis provided the down payment is sufficient. It is unlikely the Seller will want to retain a minority interest in the company going forward, but it could not be ruled out totally.