Niche-Steel Fabrication Co. Well Managed Tenured, and Profitable

This established Steel Fabrication shop in North Texas has been well known in the industry for over 35 years. It is a heavier steel fabricating shop able to fabricate up to 1/4-inch and 1/2-inch plate steel, component parts, repeat parts and structures for distribution centers such as racking, conveying along with other projects for larger similar firms. They do some stainless, aluminum, and some galvanized work but mostly mat mild steel. They also do wet painting, shearing, forming, rolling, punching, and welding. When Covid hit, the business grew. They are considered essential as they work with one of the larger food distribution companies. With the push for more distribution centers and the North Texas construction industry growing rapidly, they are in a good place to grow even more profitable. The cost to start up a business like this would require a large capital expenditure with high equipment costs, high material costs and real estate space. Also, it would require a large amount of marketing and time to achieve profitability. The owner says, if you can draw it up and we can fabricate it within the capacities of our equipment, we can build it. Location: Texas Year Established: 1994 Number of Employees: 30 Real Estate: Leased Building Sq. Ft.: 30,000 Rent: $16,000.00 Per Month Lease Expiration: 9/1/2025 Facilities: The facilities are leased and are about 30,000 square feet of space with just under 2000 sq. ft of that being offices. This includes the production side where the cutting, welding, punching, and rolling is done and a clean area that includes a brand-new paint booth and a paint drying and staging area when product is completed and ready to ship. Market Outlook/ Competition: While there is competition not enough to affect the work they get on a regular basis. If they want the job they can get it. Growth & Expansion: The company has a great history and reputation and has not found it necessary to do any marketing as most of the business comes from word of mouth and repeat customers. They do not even maintain a website for additional sales. For a Buyer, the capacity is there to do more volume with additional effort on marketing and advertising.