Michigan CNC Machining Company (RA178)

Status

Company Summary

This Eastern Michigan-based Company, based in Oakland County is a custom CNC milling and turning company that provides high quality parts and components to both automotive and non-automotive industries. The Company’s history of growth and profitability has been negatively impacted by the 2020 pandemic. After decades in business and maintaining a strong focus on quality service, the Company has built a large, dedicated customer base. The Company has machining expertise in a variety of different types of metals and plastics, and it serves the automotive, automation, defense, and engineering industries, as well as others. The Company has built a reputation for exceeding customer expectations by providing the highest quality parts with on-time delivery.

Investment Highlights

Consistent growth – Up until the pandemic of 2020, the Company has grown in nearly each of the past 20 years.

Industries served – The Company serves a wide range of industries including automotive, automation, aerospace, defense and food service, resulting in a diverse customer base.

Strong reputation–The Company has strong relationships with its customers, which is one of the ways it maintains its vendor code with a large automotive OEM.

 

Growth Opportunities

Greater sales emphasis – Current sales levels have dropped since the pandemic. By increasing sales efforts and adding volume to the Company’s existing machinery, there will be a return to profitability.

Additional equipment – The Company currently has a robust equipment capability. Adding additional horizontal mills, laser cutting, or welding and fabrication capabilities to increase services would have a significant increase in sales with the existing customer base

 

2019 Revenue: $1,640,000
2020 Revenue: $657,000

2019 EBITDA: $166,000
2020 EBITDA: – $21,000
 

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