Niche high-margin specialty construction equipment parts supplier

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August 23, 2023

by an investor from University of Southern California - Marshall School of Business in Boston, MA, USA

This East coast company is a major aftermarket suppliers of wear parts and spares for niche construction equipment used by excavators, quarries/mines, demolition, utilities, and infrastructure contractors. The company has shown consistent organic growth and profitability over its 15-year + history. Their customers include end-user contractors as well as B2B through repair facilities around the country. There is a very high level of repeat customers due to their high-quality parts, service, and knowledgeable employees. Direct competition is limited, and the industry overall enjoys strong margins###-###-#### has shown 64% overall gross margins to date. The business is appropriately staffed with office and warehouse/shop employees. The current owner is active in, but not integral to the day-to-day operations of the business and much of his current activity could be delegated/outsourced. This suggests a smooth transition as well as ample opportunity for a new owner-operator to bring the business to the next level.
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Reply by an investor
from University of Southern California in Boston, MA, USA
Thanks to searchfunder.com we found a great buyer and closed a deal at the end of 2023! Good luck in their searches to all who expressed interest. I’m interested in seeing investment opportunities as they come up, so DM me!
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Reply by a searcher
from Keller Graduate School of Management of DeVry University in Centennial, CO, USA
I am interested in learning more about this business. Thanks!
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