Light Manufacturing Businesses For Sale in 0 Midlands

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Uk Exporter Of Pipeline Products To The Watersewerage & Oilgas Industries

Location:Midlands

Category:Manufacturing Light

Asking Price:£350,000

  • Sales revenue : £796,000
  • Net profit : £167,000
  • Furniture/Fixtures value : Undisclosed
  • Inventory/Stock value : Undisclosed
  • Uk Exporter Of Pipeline Products To The Watersewerage & Oilgas Industries

Business description

UK Exporter of Pipeline Products to the Water/Sewerage & Oil/Gas Industries


Ref.GD063

Location Manchester(Yet fully relocatable)

Asking Price: O.I.R.O. £350,000

Asking price includes:

Turnove for last financial year circa £796,000 per annum
Gross Profitscirca £259,000 per annum
Current Net Profits circa £167,000 per annum
Low overheads
Superb supply base
Reputable blue chip client base
Positive cash flow
Global opportunities
Training and handover
Goodwill

Business profile:

This specialist UK company set up by the current vendor some 20 years ago specialises in the supply of pipeline equipment to the export market, primarily to the water/sewerage and oil/gas industries. Equipment include pipes and pipefitting made from a variety of materials as well as specialist machines, plant and equipment.

Over the last five years the business has focuseed on the Caribbean where the business has establsihed a sterling reputation for supplying reliable products and for providing a consistent level of service. This has resulted in the business enjoying substantial ongoing business which is both sustainable and offers significant opportunties for growth.

Most of the products the company supplies are from major UK manufacturers , but also increasingly from associates in India. The business has developed its own product that is already being sold in volume(at higher than average margins) and also has a number of other such products that are at different stages of development.

The company is debt free and enjoys a strong/potential order book for the future. It enjoys very good profit margins, has very low overhead and enjoys positive cashflows such is the nature of its work.

The company’s clients are primarily water authorities and contractors. In some cases the business deals direct and in others through an established and trustwortthy network of local agents. The business also has some clients/ contacts in th Middle Eest that are ripe for future expansion.

This represents a significant investment opportunity to a new owner in a vast and growing market sector.

Other Information

  • Competition: The business currently undertakes no conventional advertising or marketing campaigns such is its position in the market. It does not have a website. However the vendor does attend the main trade show to network and visit clients.
  • Expansion: This business operates within a field with ongoing demand anticipated for the short/medium and long term. It is currently servicing a very small part of this market both in terms of share, customer base and geographical spread. It currently does no proactive advertising or marketing. It has no internet presence. Growth is inevitable. It is understood a new owner with new levels of energy, investment in resource and marketing could significantly increase the levels of business within a short period of time. Alternatively such are the relationships already in place that the business would expect to continue growing at its current levels if a new owner so required.
  • Employees: The owner works full time within the business ably assisted by his wife who undertakes administrative duties on a part time basis.
  • Trading Hours: As required.
  • Support Training: The current owner would be happy to provide full training and support at handover. He may even consider working as a consultant for an agree period thereafter subject to negotiation.
  • Reason For Selling: The vendor is setting up a new unrelated venture with his family and wishes to now concentrate on this.
  • Lease Terms: There are no premises associated with this sale. The business is run from a home office environment.
Turner Butler
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