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Premier Profitable and Growing Distributor of Industrial Maintenance, Repair, and Operations Products - Located in the Southeastern US #68430 Sign NDA ► 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. Andre Farahmandi Senior Vice President Email: afarahmandi@generational.com Mobile: 972-232-1140 Generational Equity 3400 N. Central Expressway, Suite 100, Richardson, TX Fax: 972-392-1124 BUSINESS HIGHLIGHTS Specializing in distribution and servicing power transmission, material handling, and fluid power components, the Company leverages deep expertise in maintenance, repair, and operations to meet clients' needs effectively. With a vast network of suppliers and a comprehensive product portfolio, the Company ensures reliable, direct ordering for maintenance and repair purposes, driving strong repeat business. In addition to its robust product offerings, the Company provides a range of specialized services tailored to support clients' unique industrial needs. These services include Component Rebuilding, Machinery Refurbishing and Retrofitting, Hydraulic Hose Fabrication, Machinery Automation, and Integrated Supply. The Company prioritizes same-day delivery and rapid response times, reinforcing its commitment to quality and reliability. INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 - 2022 $6.2 M $6.6 M $7.7 M $6.5 M $6.5 M $7.4 M $9.3 M $7.9 M $0 M $1 M $2 M $3 M $4 M $5 M $6 M $7 M $8 M $9 M $10 M 2021 2022 2023 Interim 2 024 Repeat Customer Sales and Total Sales Total Rep eat Sales Total Sales COMPANY STATS >40+ Years of Operations >89 Active Accounts >High Rate of Repeat Business >Outside Metropolitan Area >6,000 Sq. Ft. Facility >B2B Customer Markets >8 FT 5 PT Employees >$152,000+ in FMV Fixed Assets > S Corporation INVESTMENT APPEAL • Strong Financial Performance: Historically the Company has experienced consistent growth year over year. Historical sales grew from $6,379,000 in 2021 to $9,190,000 in 2023, representing a CAGR of 20.0%. Furthermore, the Company has consistently improved its profit margins in tandem with its revenue growth, reflecting a strong ability to scale operations efficiently. • Recurring Business from Repeat Customers: The Company benefits from the recurring nature of maintenance, repair, and operation products, which are routinely replaced. This consistent demand is bolstered by a strong base of repeat customers and longstanding relationships, built on the Company's solid reputation for reliability. • Outstanding Growth Opportunities: The Company has significant growth opportunities, including expanding its product and service offerings, investing in employee development, and opening additional locations. Backed by a young, energetic management team committed to staying on and driving future success, the business is well-positioned for continued expansion and profitability. • Recession Resistant Customer Markets: The Company operates in recession-resistant B2B markets, serving essential industries like agriculture, steel, recycling, and food and beverage, where recurring repair needs drive consistent demand for the Company's products and services. This strategic focus supports steady demand and business stability, even during economic downturns. • Low Customer Concentration: The Company maintains a diversified customer base, with no single client dominating its sales. In 2023, the largest customer contributed 13.5%, the second 12%, the third 11.5%, and all others less than 10%. Revenue Mix Historical & Projected Financial Performance Customer Market Mix $10.0M (8.8% YoY Growth) $1.2M (13.2% of Sales) $1.3M (12.9% of Sales) 2023 (Historical) 2024 (Projected) Sales $9.2M EBITDA