Business for Sale by BeunaventuraLongjas


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									                                           BUSINESS FOR SALE

                              Heavy-Duty Manual Machine Shop

SUMMARY: Growing Manual Machine Shop in the Greater Houston, Texas area. With personnel and
facility additions made during the past year, future growth looks very bright.

SERVICES: Provides fabrication, repair and re-building of major metal parts for oil & gas, chemical,
power generation, heavy equipment and machine tool industries.

CUSTOMERS: The Company works for over 200 customers in a typical year. For the past fiscal year,
the Top 20 Customers represented 60% of sales and the Top 5 Customers accounted for 32% of sales.

FACILITIES: Owned real estate, including 25,000 square feet of shop space, is appraised at $1.25
Million. Operating equipment (lathes, grinders, mills) and support equipment (overhead cranes) are
valued at over $3 Million. Some of the equipment allows them to handle large jobs that other local firms
can not compete for.

PERSONNEL: The Company has five managers (including the Owner), plus 26 hourly employees. The
General Manager (25 years of industry experience) and the Shop Foreman (10 years of industry
experience) are already responsible for much of the day-to-day marketing and operational management.
All employees except the Owner wish to remain.

GROWTH: During the past year, customer backlog has averaged $500,000 to $800,000. With
personnel and equipment additions made during the past 18 months, business is poised to handle greater
volume. Sales for current fiscal year are expected to exceed $4 Million. Consideration is currently being
given to adding a second shift.

OBJECTIVE: The Owner is ready to retire after 30 years in the business, but can be flexible with
regards to the transition. Owner currently works an average of only four days per week and is willing to
work in a consulting capacity if desired by buyer.

  Year Ending                Revenue                    Gross Profit                   Cash Flow                CF % Rev
  August 31st
              2007          $3,301,493                    $1,865,546                     $745,434                   22.5%
              2006          $2,245,703                    $1,138,590                     $286,642                   12.8%
              2005          $2,109,957                    $1,141,354                     $369,558                   17.5%

PRICE AND TERMS: The Owner is asking $4.8 Million for the stock of the company (includes
ownership of land, building and equipment, free of debt). Owner willing to consider some seller financing
for qualified buyer.
                                                            Listed by FG

                                FOR ADDITIONAL INFORMATION CONTACT:
 Don Kirchoff   Phone: 281-335-1200   Fax 281-335-1246                     
                                    1419 Pirates Cove; Houston, TX 77058

                      Information provided is from sources deemed reliable, however no representation is made as to its accuracy.
                      This profile is necessarily brief and may be subject to errors, omissions, prior sale or withdrawal.

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