Issue link: http://deals.uberflip.com/i/1485860
Electronics Manufacturing Machinery & Supplies Distributor - Located in the Midwest Region #66218 Sign NDA ► 2022 Revenue Est. $2,200,000 (15.1% growth) 2022 EBITDA Est. $185,000 (8.4% of revenue) 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. Joe Hige Senior M&A Advisor Email: jhige@generational.com Mobile: 248-982-6400 Generational Equity 3400 N. Central Expressway, Suite 100, Richardson, TX Fax: 972-392-1124 BUSINESS HIGHLIGHTS The Subject is a tech-advanced sales and process consulting firm and distributor of automation machinery and supplies used in the manufacturing of electronics. As an authorized dealer for all of the products it sells, the Company offers full factory automation process consulting and "end-to-end" electronics assembly lines and equipment. In addition, the Company is a full service, stocking distributor of MRO and materials, tools, chemicals, and process instrumentation used in the electronic manufacturing industry. The Company's excellent industry reputation and local brand awareness has established it as the preeminent upstream provider for electronics manufacturing in the region, and its people and processes are designed to facilitate seamless operations and to maximize asset utility. INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 COMPANY STATS > Over 25+ yrs of operations > National reach > 7 FT employees > 1,200 sq. ft. office/warehouse > 200+ Active Accounts > C-Corp Structure > Low CapEx Requirements INVESTMENT APPEAL • Strong Historical Sales Growth: Historical sales have grown from $1,282,000 in 2019 to $1,912,000 in 2021, representing a compound annual growth rate of 22.1%. Sales have grown consistently year over year in the historical period. Throughout the first six months of 2022, the Company has reported sales of $1.1 million, which is on track with the Company's end of year revenue projection of $2.2 million. • Decreasing Operating Expenses: Operating expenses have been trending lower, decreasing as a percent of sales from 57.1% in 2019 to 39% in 2021. Effective management of operating expenses led to greater profitability over the historical period. • Scalable Operating Expenses: The Company has built an effective organization capable of sustaining projected growth. The Company maintains fixed operating expenditures, and future revenue growth will greatly improve profitability. Any increase in revenue will not result in meaningful changes to projected operating expenses. • Recession-Resistant Industry: Management indicates that demand for the Company's electronics assembly products are inelastic. Regardless of economic conditions, the demand for the Company's services remains consistent. GROWTH OPPORTUNITY > Expand Digital Marketing Platform > Increase Sales & Marketing Efforts Revenue Growth Pro Forma 2021 Revenue Mix