The company specializes in providing various value-added services to their customer’s own fabrics for upholstery, drapery, wall coverings, and other interior decoration applications.

Key Aspects

Revenues and adjusted EBITDA have grown at a compound annual growth rate (CAGR) of 17.6% and 54.6%, from 2019 to the trailing-twelve-months (TTM) ending June 30, 2022, respectively
Gross profit margins have averaged 63.9% from 2019 to the TTM ending June 30, 2022
Management notes that combined revenue in Q1 and Q2 have increased 26% from 2021 to 2022
Single source for all fabric treatments, offering a full-service experience to customers
Management notes that the company is the only source within the industry to provide knit & nonwoven paper backing for high-end, delicate, and extra wide fabrics (up to 120 inches) that is accomplished with the company’s own proprietary techniques
Excellent customer service & customer retention
Well established team with extensive product knowledge in problem solving and providing custom solutions
Business revenue is steady with minimal seasonality and cyclicality from economic conditions
Maintains a strong social media and online presence with a #1 Google search ranking via organic measures and no reliance on paid advertisements
Payments terms are invoices made in advance, with the company having minimal bad debt and collection costs

Opportunities

Capitalize on proprietary processes in a vast interior decoration market where there is currently little to no competition
Implement strategic marketing plan to accelerate growth in the hospitality, gaming, interior decoration, and healthcare industries
Make the necessary personnel changes and implement systems to enhance efficiency in all aspects of the business
Identify and concentrate on services with significant return on investment (ROI) and expand physical operations, if necessary
Expand geographic reach throughout the West Coast of the US via the formation of business partnerships and/or hiring sales associates

Headquartered

Southeast US

Current Markets

The company serves a variety of industries including fabric wholesalers & jobbers, interior decorators & designers, furniture manufacturers, upholstery shops, and the hospitality & entertainment industry. It provides services internationally, including countries throughout North America, Europe, and the Middle East.

Real Estate

The company operates in a 20,000 sq. ft. facility, owned by an affiliated entity, of which it occupies 12,000 sq. ft. The real estate is not included in the sale.

Shareholder Objectives

The company is owned by a single shareholder. The shareholder is open to discussing different deal structures and is willing to remain with the company under new ownership for a transition period.

Benchmark International

Benchmarks Exclusive Opportunities

Fabric Backing and Finishing Services Firm – BN000035738

Fabric Backing and Finishing Services Firm – BN000035738

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