This company provides electrostatic powder coating services to metal fabricators of automotive, truck and trailer components and assemblies, plus architectural metals, fencing and much more. The process results in a baked-on resin finish that replaces paint with a more environmentally friendly and durable plastic coating.
The company operates from within a 15,000 square foot portion of an 18,000 square foot warehouse building. The thirty five year old building is of concrete block, tilt wall and concrete slab construction. The remaining 3,000 square feet of the building is occupied by a tenant business with no long-term lease. The Real Estate is included in the listing price of the business.
This business, like many others, experienced pandemic related revenue declines. As the overall economy recovers as the pandemic declines, this company expects revenue growth from pent-up demand. Currently the company has no comprehensive marketing plan and substantial growth may result from revitalized marketing under new ownership.
This industry is both highly competitive and highly fragmented. Most operators have fewer than twenty employees and serve niche local markets. Proximity to customers, fast turn-around and consistent quality are key to success. Capital equipment startup costs create high barriers to entry.
The operating owner is of retirement age and enjoys good health. He wants to have more time available to pursue personal interests in the nearby area.
Will train for 2 weeks @ $0 cost. The electrostatic powder coating process evolved in the 1960s from earlier liquid-dipped coating processes. In the electrostatic process a spray gun is used to evenly apply a charged powder to a grounded target component. The sprayed-on Powder resin is subsequently baked onto the component. Powder coating services are not high tech and require no special licensing. Industry employees, once experienced in the process, are semi-skilled. Most employees acquire the skill through on the job training.