This company is a leading manufacturer and supplier of youth archery supplies. They source the components from different manufacturers, and assemble the products at their Utah facility. There is a high barrier to entry for competition -- the company’s equipment is worth over $300,000 (replacement value) and it would cost in excess of $250,000 to build a new automated assembly machine.
Their primary source for sales is manufacturers’ representatives who focus on the recreational market. There is opportunity to capture a large market share in their industry and also expanding their rep network and put more focus on internet sales. A new owner could also add other related products. The company’s machines have the capacity to make significantly more product than they are currently producing with only one employee.
The business will need to be relocated and the seller estimates it could be housed in a 2,500 to 3,000 square foot warehouse. Depending on the area, the current rate per square foot averages around 60 cents per month or about $ 1,800.
The owner has other business demands on his time and has decided to sell this division of his company. Seller financing is available to a qualified buyer with a reasonable down payment.
This is a great opportunity to acquire a solid business with a great reputation that is relatively easy to manage and operate.

Posted May 9, 2016

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