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Specialist Aerospace Tube-Forming Business - SOLD

Specialist Aerospace Tube-Forming Business NOW SOLD

This interesting manufacturing business, established by the vendor in 1999, is a specialist in tube-forming processes, manufacturing components with diameters down to less than 1 mm.  The company supplies customers across a wide range of industries with aerospace being of particular interest.  Having guided the business successfully through the difficult years caused by Covid, the vendor is now ready to sell the business as a move towards his next business project.

In addition to the owner, who works in the business full-time, there are 6 long-established employees, including a Factory Manager who handles much of the day-to-day activity in the factory.  The business operates from a relatively modern, 5,500 sq ft unit in the Midlands.

In addition to aerospace, the company has customers operating in automotive, engineering, leisure and healthcare sectors.  Its top customer accounts for about 17% of sales and the top 10 for around 60%.  The Company has an excellent track record of keeping customers over many years. 

With the ending of the Covid lock-downs there is plenty of scope for growth with a number of interesting enquiries in hand.

The 2020 financial year was significantly impacted by Covid and sales fell from c £750k in the previous year to £440k.  However, sales in the current year are expected to reach £570k and £680k in 2022, positioning the business to return to and exceed 2019 levels of sales from 2023 onwards.  The director’s forecast EBITDA before drawings is £48k and £93k for 2021 and 2022 respectively.  The balance sheet is expected to have Net Assets of C £100k at completion.

The Guide Price for the shares of the business is £295k and the vendor will work on for up to 6 months to assist with the handover on terms to be agreed.

Location: Midlands

Sales: £680k   Adjusted EBITDA: £93k

Guide Price: £295k

Contact: Richard Anderson or Peter Wilson        02476 100476

Anderson Shaw Reference - ASCFL/TFB

Anderson Shaw has offices on the outskirts of Stratford-Upon-Avon and provides business broker and corporate finance services for clients throughout the Midlands and the UK.

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