Profitable Motor Coach and Bus Components Manufacturer

Established in 2007, this Company is a manufacturer and supplier of plastic, fiberglass, assembly components, and OEM parts to motor coach manufacturers, bus line operators, and transit systems throughout the United States and Canada. The Company offers a wide variety of services and products to its customers including over 750+ parts that are designed or redesigned and are available for customization, engineering, and manufacturing. The Company has developed its broad and diverse product and service offerings through its willingness to accommodate its customers’ designs and requests at a low price while prioritizing quality.

The owners have created a successful Company through their dedication to offer high quality and affordable products. The Company has minimal competition within the motor coach and transit industries. Therefore, the Company has focused its efforts on producing creative, reliable, quality, and affordable parts for its customers to ensure customer satisfaction and guarantee a footprint within its industries. The Company plans to expand more into the transit industry and OEM suppliers over the next couple of years to obtain greater market share in a growing and demanding transit industry.

The current owners believe that they have grown the Business as much as they can by themselves and are looking for a new owner(s) who can help take the Company to the next level. They are willing to sell the Company to the right buyer(s); however, they are willing to stay on for a defined period after the Business is acquired by a new owner(s). This will give the new owner(s) ample time to make a smooth and effortless transition.

Buyers are required to have a minimum of $400,000 available as cash equity to be considered as qualified buyers.

Additional Information:

Facilities and Assets: The Company leases a 23,000 sq. ft. facility. The Company also leases an additional 1,500 sq. ft. of storage and features an asset base of $600k and over $858K of inventory.

Support/Training: Ownership is willing to provide reasonable and customary transition assistance.

Investment Highlights

Unique Product Offerings and Service Capabilities: The Company offers a diverse and unique set of products and service capabilities to its customers with over 750+ different products in its product portfolio and product customization, design, engineering, and manufacturing services offered to its customers.

Strong Gross Profit Margin and Cash Flow: The Company has consistently generated a strong gross profit margin and cash flow by focusing on operating efficiencies and customer price expectations. The Company’s increased revenue and gross profit margin, along with relatively consistent operating expenses have helped fuel an increase in cash flow, especially from 2017 to 2018 where the Company produced an Adjusted EBITDA of $1.2M.

Broad Geographical Footprint: The Company has a broad geographical footprint in the motor coach and transit industries with sales spanning the United States and Canada. The Company’s ability to reach customers from many different locations has not only created a diverse customer pipeline but has helped the Company expand its name and gain new customer referrals.

Experienced and Versatile Upper Management: The Company’s upper management team has many years of experience within the motor coach and transit industries. The current owners believe that the current upper management team could step in and effectively operate the Company.

Reputable Company Operating in a Niche Market: The Company currently operates in a niche market where there are few competitors. The Company has obtained a solid market share through its willingness to be flexible and align with customer expectations. Additionally, the Company offers 750+ aftermarket parts, making it an attractive supplier and manufacturer for OEMs. The Company has done well competing against its larger competitors by offering quality products at low costs.

Growth Opportunities

Increasing Marketing Efforts: The Company currently has one website that is used for all marketing efforts. While the Company has significant sales attributed to its website, the website could be improved making it easier for customers to navigate and visualize products. The Company’s current owners believe that if resources are dedicated to updating the website, the Company could greatly increase its customer traffic; therefore, increasing its customer base, geographic footprint, and brand awareness online. Overall, by implementing a new website and effectively marketing the Company online, the Company has an excellent opportunity to increase its revenue each year.

Hire Sales Staff in Select Target Geographies: The Company is currently operating well without sales representatives or additional salespeople. However, in order to penetrate the transit market and gain additional market share in the motor coach and bus industries, the Company could bolster its sales team. With added sales attention, the Company’s current geographical customer base could increase substantially allowing the Company to gain additional market share from its larger competitors.

Gain Additional Market Share in the Transit Industry: The Company could benefit greatly through a strategic acquisition, partnership, or implementation of a dedicated sales effort to the transit industry. This could allow the Company to develop relationships with larger transit manufacturers by obtaining a larger sales staff or by focusing its sales efforts toward the transit industry, allowing the Company to diversify its customer base into the transit industry and obtain additional market share. An example of two products/services that the Company could add to its product/service portfolio through acquisition is metal fabrication and polyurethane fenders and bumpers. By adding metal fabrication capabilities, the Company could supply its own products and become a supplier to additional bus and transit companies that use metal doors and frames. Additionally, by manufacturing polyurethane fenders and bumpers in-house, the Company could offer these capabilities to many transit companies because most transit buses have polyurethane fenders and bumpers on them.

Utilize Additional Shifts: Currently, the Company only utilizes a 1st shift for manufacturing. The 2nd and 3rd shifts are available to add additional capacity and workload. With the right management, operation processes, and capacity in place, the owners believe that an additional shift could be added to benefit the Company. This could allow the Company to add additional customers and production, which in turn could increase operational efficiencies and bottom-line performance.

The BEST way to receive confidential information about this opportunity is to fill out the form below.

Upon doing so you will receive a link via email to review and sign our confidentiality agreement. Once signed we will be able to further the conversation and send you the confidential Offering Documents. Please contact info@caldergr.com with any questions. Interested parties must demonstrate proof of financial capability, sign a Non-Disclosure Agreement, and answer a few questions related to their background and interests. Inquire today about this motor coach and bus components supplier for sale!

Financial Performance

  • Year End Dec 2018 Revenue

    $5,188,997

  • Year End Dec 2018 Adjusted EBITDA

    $1,184,770

  • Equipment Value

    $600,000





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