Murphy Business & Financial Corporation is pleased to announce the engagement and the opportunity to showcase a manufacturing and distribution company in a prime and growing space; enhanced outdoor living environments. The owner has developed and manufactures a system of equipment that automatically controls Mosquito and other pest populations. The systems are purchased and installed by pest control and lawn maintenance professionals in residential and commercial applications which safely and systematically reduces and maintains the mosquito population near zero. This system also has a long and successful history in the control of biting fly populations in the agricultural applications and is experiencing an increased interest from "do it your selfers".
There are two components to this business; the first, is a manufacturer of a Branded Product line of Automatic Insecticide Spraying systems, with a full line of its consumables, accessories and replacement parts. The second; is an Industrial distribution company with value added manufacturing, selling electrical, electronic and industrial components and assemblies to OEM, (Original Equipment Manufacturers), Industrials and Distributors nationally.
The business resides in a recently remodeled 2440 sq ft office warehouse in the commercial district of a growing suburban community with close access to Interstate highways and an International airport. The building is owned by the seller and will offer a very favorable lease to the buyer at $1,750 a month.
This company offers a tremendous potential for growth in several different areas. As the population of Mosquitoes and the awareness of the diseases they transmit continues to increase so does the demand for a solution to this serious problem. Automatic Pesticide spraying systems are by far the most effective available on the market today. This industry is in its infancy and has a long runway. It’s under the radar of larger companies, as there are no major players participating in this market. This business is positioned to serve the manufacturers of the equipment with electrical components; the installers who service the residential, agricultural and commercal markets with a complete line of equipment, consumables, accessories, parts and service; and directly market the same products to the DIY marketplace. If one chose to do so they could introduce a franchise model and sell protected territories, or develop an installation/service division which is a highly profitable business unto itself. The company is also classified as an authorized stocking distributor for many internationally known brands of industrial, electrical and electronic equipment and has excellent relationships and credit history with its vendors. It has long standing relationships with its customers which can be transferred and parlayed into additional sales and profits. The same strategy of supplying components and value-added assemblies can be employed to other vertical markets and other profit centers developed.If one chose to do so they could convert this business to a franchise model and sell protected territories, or develop an installation/service division which is a highly profitable business unto itself. This company offers a tremendous potential for growth. The company is classified as an authorized stocking distributor for many internationally known brands of industrial, electrical and electronic equipment and has excellent relationships and credit history with its vendors. It has long standing relationships with its customers which can be transferred and parlayed into additional sales and profits. The same strategy of supplying components and value-added assemblies can be employed to other vertical markets and other profit centers developed.
While there are many companies that provide professional mosquito abatement service and are potential customers; there are not many manufacturers of the equipment. Of the companies who manufacturer the equipment, this company supplies many of them with electrical components and assemblies. Most of the service companies that once manufactured their own equipment have since gladly relinquished the assembly to others more qualified. One Manufacturer developed a franchise system but most work with dealers/installers on a non-exclusive unprotected territory basis. Historically, the bulk of the business has been generated by the higher net worth consumer who contracts a service company to install and maintain the system. Commercial accounts, such as restaurants, amusement parks and others are also end users. The DIY consumer segment continues to increase as new products are created to target smaller yards and to reach an attractive price point. Both markets will continue to be strong and grow in part due to the recent storms and flooding which enhance mosquito and other pest populations, and the increased public awareness of mosquito transmitted diseases.
The owner has positioned to sell and is ready to phase into retirement.
Will train for 2 weeks @ no cost. The owner works roughly 40 hours per week and serves several roles in the company. His primary focus is managing the company’s profitability. He seeks new opportunities for sales and profit growth through existing and potential customer contact, marketing campaigns, developing new sales channels and product offerings. While not required to handle the daily purchasing, he will negotiate larger purchases with vendors to enhance profitability. In addition, he performs the periodic tax reporting functions which are compiled and tracked within Quick Books accounting software, but could easily be transferred to an accounting service.