Company: Very Profitable, well-established company in a high-end/custom stair and railing industry in GTA for over 30 years is available for sale due to retiring owner
Niche Operating Industry: High-end/Custom stair and railings company involved in both manufacturing and installation phases. Started out specializing in wood products and expanding later into both metal and glass offerings.
Consistent Profitability: Company has a multi-year track record of profitability, with the last year (Year-End March-2023) revenue of around $2.9M and seller’s discretionary earnings (SDE) approximately $900k
Excellent performance for the present year (as per seller): For Y2023-2024 projected Revenue is around $3.1 million (30-35% higher than the pre-COVID levels) and projected SDE is around $940k
Loyal Client base: 70+ long-term customers (high-end builders and wealthy residential customers). For Year-End 2023, 85% of annual sales were generated from repeat clients (especially builders)
Distribution of Revenues: Annual revenues are approximately 85% from high-end builders and 15% from residential customers. A typical project would average between $10k-$30k and can often scale much higher
Geographical Coverage: 85% of annual revenues are generated from GTA projects, 15% from North of GTA (high-end homes and cottages in Muskoka, Simcoe county, Wasaga, etc.)
Growth Opportunities: Exist by undertaking more projects from existing (long-term) clients or by implementing a more aggressive marketing to expand the client base. Business is continually rejecting extra work
Staff: Owner included – a non-unionized staff of 14 employees (13 FT/1 PT). Key employees have been with the company for 12-30 years
Owner’s Role: Oversee operations, estimating and managing the staff and the ongoing manufacturing and projects/installations
Marketing: Most of current revenues are generated through existing and new client base with minimal or no marketing at all
Smooth Transition: Owner is planning to retire, hence looking to sell the business. Owner is willing to stay on board for a negotiable period (6 to 12 months) to assist with the transition of the business
Assets Included: Vehicles, Equipment, Tools, Inventory, Fixtures & Furniture (as per seller, valued in the range of $800-870k)
Financing Flexibility: Seller is open to consider seller financing option for serious and qualified buyers only
