We are close to a deal for a company that contract manufactures for U.S. clients in China. Diverse range of SKUs, including several glass related products. CEO is in the U.S. with a sourcing, quality control and shipping team based in China to drive sourcing and supply chain solutions for cost-efficiency seeking U.S. customers. We believe there is an opportunity to scale and diversify product mix as they've underinvested in sales and marketing.

Company did ~$3.7M in EBITDA last year (and 2.5M in EBITDA the year before) and we're purchasing 60% for $5-6M in upfront cash w/ some earnouts based on performance. We wanted the heavy equity roll to incentivize the CEO and manage for "key man" risk. Given the low upfront cash vs. EBITDA, we believe the deal has an asymmetric risk-reward profile. Would love to get any thoughts/comments from the group on what we should be mindful of. Also, if there are investors that would be interested, comment below and we'll reach out to you.