Business Description

This Michigan-based profitable, well-organized, well-managed electrical components and consumables distributor has supplied Michigan manufacturers since 1993. They distribute an extensive product line, including fuses, cables, batteries, circuit breakers, wire assemblies, and switches, to a broad mix of industrial OEMs and subcomponent manufacturers. They also perform assembly work. The company is well known and respected within the industry for its quality and service and takes pride in offering only the best name brands to its clients.

The company has dedicated, long-term and dedicated personnel who have been instrumental to the company’s growth and success.  The business has grown through long-term relationships with an established base of industrial clients and word of mouth. The knowledgeable sales team’s local presence and ability to meet customers face-to-face sets them apart from the competition.

The company operates from a 16,000-square-foot facility in a desirable Michigan business park near multiple major highways. The facility is in excellent condition, with floor space for additional growth and further footprint expansion.

Details:

Year Established: 1993

2022 Gross Revenue: $3,018,453
2021 Gross Revenue: $ 2,890,340

2022 SDE (Adjusted Seller’s Discretionary Earnings): $320,342, plus $72,000 rent paid to the owners.
2021 SDE (Adjusted Seller’s Discretionary Earnings): $259,289, plus $72,000 rent paid to the owners.

Average Inventory: $659,000 (completed December 31, 2022)

Facility: 16,000 square feet, built-in 2001

Employees: 6 knowledgeable, long-term employees and 5-6 temporaries

Investment Highlights:

• Long-term top-tier client base.
• Comprehensive offering of top-quality products and services.
• Strong market position and
• Focused niche market segment.
• Significant room for expansion and growth in facilities, employee opportunities, and market.
• Consistent growth in sales and revenue.
• Multiple clients comprise the total sales for the company; no single client is more significant than ten percent of total sales.
• The client base has in excess of 300 clients.
• Strong Cash Flow

Growth Opportunities:

• Add new product lines.
• Significant room in the facility to add additional value-added highly profitable manufacturing.
• Hire additional sales personnel located in strategic markets around the Midwest.
• Grow and add new E-commerce sales with a focused website, as currently limited e-commerce activities exist.

Support & Training: The owner is willing to provide support and transition assistance
Reason for Selling: Retirement