Industrial Die Cutting Services Business

For Sale in Los Angeles, CA

Listing ID: 4768 | Broker Listing ID: BLP450871

Financial & Assets Details

Revenues: $625,872

Cash Flow: $64,873

FF&E: $150,000

Inventory: $2,500

Inventory Inc. in Price: Yes

Real Estate: $3,500,000

Square Feet: 20000+/-

About the Business

Relocatable: Yes

Year Established: 1990

Employees: 11

Lease Amount: $10,000

Business Description

WITH the resurgence of manufacturing in the US, this large-scale 1990 die cutting business is a strong player
in the future of our goods and services-based economy.

The heavy equipment and machinery is used to
create and duplicate thousands of items quickly and with perfect duplication. Examples of typical jobs the company provides: 900,000 3” X 3” felt doves, 33,000 Halloween masks, 1.2 million 4” diameter non-woven fabric rings, 80,000 2’ X 5’ gas station-display drink signs, 250,000 ¼” press board cutouts. The company does not use heat, gluing or printing in its process.
They service their 200 customers with the
manufacture of products we use everyday. Owner estimates that 85% to 90% of revenue is generated
from recurring customer relationships.

Die cutting is a meticulous task that requires expert knowledge: which the owner has in place with its
skilled, loyal shop workers. Die cutting would supplement and enhance services of an established manufacturing shop by providing vertical business growth.

Annual revenues for the past five years have been solid and consistent at between $550,000 and $650,000. No special skill licenses are required.

Included in a sale: Inventory, equipment and machinery, computers, trade secrets, customer lists, vendor relationships, name, web URL, phone numbers, email addresses, sales order backlog, goodwill, covenant not to compete, owner transitionary training. Owner can remain after training to further assist if desired.

Equipment and machinery are workhorses and require very little maintenance. New owner operations require sourcing of a new location, which the owner’s leasing agent will assist with. A building size of 8,000 to 10,000 SF is sufficient for operations. Lease rates average $.85/SF to $1/SF per month.

Owner’s job duties include: overall supervision, bidding/quoting jobs, ordering tooling and setting up procedures. The key to growth is to retain reasonable margins yet increase sales through search engine optimization and marketing to US manufacturers.