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| California Electronic Gate Manufacturing & Service Company | |
| Industry Description |
Gate Mnfr. / Distr. |
SIC |
5211 |
| Days Open |
5+ |
Year Established |
1980 |
| Hours of Operation |
Years Owned |
24 |
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| Full-time Employees |
9 |
Part-time Employees |
2 |
| Other Notes |
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| Hours/wk by Owner |
40 |
Owners Duties |
Manage/Sales |
| Skills / Licenses ReqŐd |
Contractors (B) or (C10) |
Training Offered / Cost |
As required |
| Non-Compete Terms |
As required |
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| Exec. Summary |
Firm provides electronic iron security gates, garage doors, components |
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| Lease / Bldg. Info. |
Industrial |
Monthly Rent |
$3,000 |
| Lease Commenced |
Deposit |
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| Lease Expires |
1.5 Yrs. (approx.) |
Term & Option |
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| Bldg./Area Description |
Office/warehouse |
Square Footage |
6,000 sq. ft. |
| Seats, Pkg, Zoning, etc. |
This firm hold a coveted patent, and has an additional 2 approved. |
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| Reason for Sale |
Retirement |
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| Financial Summary |
Current Yr. Annual |
2003 / Owner to Prove |
2002 / Owner to Prove |
| Gross Revenue |
$1,200,000 |
$985,825 |
$914,640 |
| COGS |
$599,317 |
$634,842 |
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| Rent / CAM |
$33,760 |
$28,647 |
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| Payroll |
$122,104 |
$92,848 |
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| Net Profit (before tax) |
($9,182) |
($12,325) |
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| Discretionary Cash |
$100,000+ |
$104,057 |
$92,505 |
| Expense Breakdown |
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| Included in Sale |
Assets |
Liabilities |
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| FF&E Included |
$88,008 |
Lease Obligations |
$0 |
| Inventory Included |
$45,000 |
Debt Included |
$0 |
| Other Assets Included |
$514 |
Other Liabilities |
$0 |
| Working Capital (not incl) |
Return on Sale Price |
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| Asking Price |
$600,000 |
Owner Financing/Terms |
TBD |
| Earnest Money Dep. |
Down Payment |
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| Opportunity Summary |
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Headline |
Electronic Security/Gate/Garage Door Manufacturer/Distributor and Installer |
| Summary |
This Firm Has Been An Industry Leader Since 1980. Off to strong start in 2004, the company will soon report one of the best sales years ever The company manufactures, installs, and services electronic doors and security gates. Their security gates are used in industrial complexes, commercial properties, residential apartment/condominium complexes, and single family homes. Some clients, such as large corporations and industrial business facilities, are provided sophisticated, custom telephone entry systems along with security gates. Such systems typically include the installation of surveillance cameras as well as security booths. In private single family dwellings, the company primarily installs high-end roll-up doors and/or security gates, as well as standard or highly customized garage doors. The Firm Also Has Patented Technology And Manufactures And Wholesales / Distributes a related Industry Leading Product Worldwide. This patented hardware, which regulates the opening and closing of the gates, is comprised of a set of spring brackets, springs, arms and track, regulates the opening and closing of the gates. It accounts for approximately 17%, or $200,000 of total company revenues. This hardware is marketed via the companyŐs distributor / wholesaler and dealer networks. The company also has two other patented products pending. |
| Facilities / Assets |
They have operated in this area since 1985. Te company occupies a 5,500 sf facility, with roughly 1,200sf dedicated to administration functions. According to management, the lease will be transferable and contains an offer to renew once expired |
| Competition |
Some local competition, however most competitors do not occupy the niche this firm enjoys. What separates this firm is scale of job, manufacturing and distribution revenues, as well as its stability and credibility. |
| Growth Potential |
The growth potential for this firm is enormous. Their primary means of marketing has been its regular presence at trade shows and contactors directories. The company prides itself in its elite customer base with 3,490 contacts of file including major developers, property management companies, contractors, corporations, as well as "A" list celebrities |
| Other |
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