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Precision Machine Shop, Specializing in Aerospace and Oil & Gas Located in Southern US #65442 Sign NDA ► 2021 Revenue Est. $2,196,000 (10.7% growth) 2021 EBITDA Est. $37,000 DISCLAIMER: All information contained in this document has been provided by the subject company to Generational Equity and while believed to be correct has not been verified. Accordingly, Generational Equity makes no representations or warranties as to the accuracy and truthfulness of such information. The recipient hereof acknowledges that Generational Equity shall not be liable for any loss or injury suffered by said recipient in any way connected to the delivery by Generational Equity of this document. At all times Generational Equity and its affiliate network members is an agent for the seller and not for the buyer. Generational Equity's fees are paid by the seller. Cory Strickland Senior M&A Advisor Email: CStrickland@generational.com Mobile: 469-965-8686 Generational Equity 3400 N. Central Expressway, Suite 100, Richardson, TX Fax: 972-392-1124 BUSINESS HIGHLIGHTS The Company is a niche machine shop (with ISO 9001:2015 and AS9100 Rev D Certifications and ITAR Registration) specializing in precision CNC and CMMC created parts and components for the oil & gas and aerospace industries. The Company machines a variety of components for the aerospace industry, including components for rockets, satellites, and shuttles. With the ability to machine tight tolerances, the Company is able to draw from continued projects for its CNC machined products. In the oil/gas industry, the Company fabricates and produces components used in jet fuel testing, valves, and other specialty machined components. The Company fabricates components for both domestic and international customers. The Company operates out of its own 15,000 sq. ft. office and shop space. The Company has a broad array of CNC Milling, Turning, and Lathe equipment with fully integrated/networked programming software which allows programs to be sent directly to the machines. INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 COMPANY STATS > Over 34 yrs. of operations > 20 FT & 1 PT employees > 30+ Active Client List > 93% Repeat Business > B2B Customer Markets > S-Corp. Structure > Low Cap Ex Requirements > All Key Employees will Stay INVESTMENT APPEAL • Strong Backlog of Signed Contracts - The Company possesses a backlog of approximately $1.1 million in remaining revenue under contract, as of December 2021. Given its projected-based contracts, the Company maintains a healthy backlog, demonstrating significant demand for the Company's services and facilitating revenue opportunities from one year to the next. • Rising Gross Profit Trend - Throughout the historical period, gross profit increased from 26.8% of sales in 2019 to 32.6% of sales by the end of 2020. The Company has been able to efficiently control its cost of sales after high growth, demonstrating its ability to maximize profitability potential. • Strong Net Working Capital - Ending December 31, 2020, the Company's unadjusted current assets were approximately $1,406,000 and current liabilities were $512,000, resulting in a Net Working Capital (NWC) of $894,000. • International Reach - The Company can ship its product and components around the world and cater to the needs of international clients. In 2020, the Company's fourth largest client, headquartered in Germany, accounted for approximately 6% of total revenue. • Established Blue-Chip Clients - The Company's top customers are industry leaders on the cutting edge of aerospace technology. GROWTH OPPORTUNITY > Tangential Market Expansion > Additional Next-Gen (5-axis) Machines > Outbound Sales/Marketing DISCLAIMER: All information contained in this document has been provided by the subject company to Generational Equity and while believed to be correct has not been verified. Accordingly, Generational Equity makes no representations or warranties as to the accuracy and truthfulness of such information. The recipient hereof acknowledges that Generational Equity shall not be liable for any loss or injury suffered by said recipient in any way connected to the delivery by Generational Equity of this document. At all times Generational Equity and its affiliate network members is an agent for the seller and not for the buyer. Generational Equity's fees are paid by the seller. REVENUE MIX CUSTOMER MIX