Established 1867, John A. Roebling Bridge, Cincinnati, OH - Barge Under Bridge

Our Opportunities

ACQUISITION OPPORTUNITIES:

Project Tile & Brick

Ohio Valley Region based Company is a reprocessor & manufacturer of ceramic tile trim, sheet mounted mosaic tile, and other ceramic tile products who is transitioning into thin brick products.

Company services four of the largest ceramic tile manufacturers in the country by taking their larger sized tiles and custom cuts them into mesh mounted, smaller sizes and supplying the producers with a specialty trim called battiscopa (bullnose). This type of expertise cutting is outsourced to businesses like the target company.

Today, Company has a provisional patent on the first digitally glazed thin brick. They are also one of just two major companies in the US providing glazed thin brick and are recognized as delivering the highest quality.

Thin brick products are graffiti proof so paint and permanent marker can easily be removed.

Project Update:

  • Company has been advised that they will be rewarded a New York City area railroad station project which is 4-6 stations this year each being little over $100k
    • Their graffiti resistant surface makes them ideal for subways, schools and other like projects
  • Company has been awarded a digital glaze project to provide unique color matching for their color scheme which will provide ongoing projects
  • Company will provide glazed thin brick for a national chain of a major bank’s cafe's with ongoing proposals with other national chain projects
  • Company has been awarded a condo project for their thin brick which is currently under construction in Pennsylvania and will need their bricks in October/December
  • Company continues to develop both red and white body digital and glazed thin brick
  • They can ideally match existing brick which is creating much interest with mason, general contractors and architects
  • Company is creating an exclusive digital line of printed thin brick currently not being done anywhere
  • They are approved for precast and pour-in place projects such as parking garages, bridges and other commercial applications

In total these projects will result in sales of $1 million within the next two months.

Marketing and Sales:

  • Company has set up distributors from Northeast to the South and as far west as the Rockies with quoted projects in California and Canada
  • Provided private brand lines of thin brick for several key entities
  • Currently providing samples for the largest brick company in the US
  • Focusing on lunch and learn sessions with architects and designers - recently completed one for an 80 Architect firm in the Brentwood/Nashville TN area where they were told this was one of their best presentations
  • Has in-house at least 5 other major brick manufacturers asking to develop a line of products for them

All the above is giving the Company a National Footprint for our product sales and distribution and has been accomplished since their February 2019 launch at the National Brick forum.

Company spent almost two years on the development of their process which will not easily be copied. Projects from design to construction have a year or more project cycle and they are just starting to see some early projects move into the construction phase.

Financials:

2018 revenue of $4.5 million with a net loss of $1 million

2017 revenue of $5 million with a net loss of $1.1 million

2016 revenue of $4.9 million with a net loss of $900,000

2015 revenue was $4.2 million with a net loss of $1.7 million

2014 revenue was $5 million with a net loss of $658,000

2013 revenue was $4.6 million with a net loss of $600,000

2012 revenue was $4.5 million with net loss of $800,000

2011 revenue was $3.2 million with a net loss of $1.1 million

Opportunity:

An investment in the Company brings the opportunity to profit from an industry leading technology borne from a 10-year journey in the digital decoration of tile and masonry products.  With the proper financial support, the business is progressing to 2021 target of $6.2MM in revenue and an EBITDA of $1.7MM.

Company is burdened by debt incurred to address the tile market while now having an exceptional opportunity to lead the transition in thin brick.

While the Company has reduced labor costs and fixed overhead by 60%, they must reduce the debt burden to take full advantage of the market opportunity.

Company must bring the existing loans current or offer a settlement payoff. They are working well with the SBA and they have acknowledged their willingness to negotiate an aggressive settlement with outside support.

Company’s current printing line and two kilns are well matched and provide the capacity to see true profitability from near term volumes. They are currently running on one shift – and can easily expand to two and three shifts with very little additional labor.

Summary:

  • 100,000 sf. facility on 13 plus acres appraised at $2.3M
  • Equipment including digital printing line, two roller kilns, mosaic cutting and assembly lines, bullnose automated lines and more
  • $1MM in $100,000 annual economic incentives over 10 years
  • $3.5MM in current active proposals
  • $1MM in ongoing business with a key customer with 35% gross margin
  • Capacity of $10MM annually at 40% plus gross margins
  • Provisional Patent for digital printing of thin brick not previously done in the world
  • Qualified and trained work force with leading ceramic engineer and designer in the industry

Path Forward:

The best path forward would be to continue mosaics with their key customer for consistent income and to go back into printing of cove base and flat tile in the ceramic industry. This will provide a steady stream of income while Company markets thin brick nationwide to grow sales. A few large projects can easily exceed 1MM sf. of thin brick.

Conclusion:

Company’s digital printing of thin brick can change the brick industry as it did in the ceramic tile industry.

Company has spent over two years developing the process and has an amazing opportunity to be first in the market and lead a paradigm change.

Thin brick is already changing the market as it has many benefits. The combination of thin brick and digital printing is one of the largest opportunities seen in the brick industry. Company can lead this change with very excellent return on investment. The beauty of their process is that the growth projected can be done by firing the kilns on second and third shift. Labor to operate kilns is very minor – 5 people can operate both kilns per shift. The increase in volume is 33% per shift.   

FRC seeks a buy-side finder’s fee for this opportunity.

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DIGITAL MARKETING COMPANY FOR SALE

Ohio based company founded in 2009 servicing SMB enterprises for cost effective Advertising & SaaS tools to promote customer products, brands, services, and capabilities.

Company develops tools and lower cost capabilities to promote an SMB business on Google, Facebook, Pintrest, and many Ad networks. In addition, they have a suite of SAAS tools for SMB self-service capability.

The Co-Founder & CEO is a 20-year veteran of all media aspects including Digital Strategy, Web Development, Monetization, and Social Media. He became of the first 100 Google Adwords Certified Individual’s Premier Partnerships with Microsoft and Yahoo! and his companies have placed on Inc. Magazine’s Fast 500 and Business First Fast 50.

Company serves over 60 markets with over 750 sellers across the United States.

Company utilizes an ecosystem of seven products utilizing an integrated data warehouse, delivering a single view of the customer. No more Google Analytics, SEO, SEM, or other mobile app dashboards, which provides one customer view to understand and measure engagement.

With an average digital industry retention rate of 20%, Company well surpasses that customer rate with over 50% and over 90% retention rate for partners.

This opportunity is available because the Co-Founder & COO wants to focus efforts in other endeavors but wants to maintain some equity to help new owners successfully grow the business for the following years.

2018 revenue was $5.5 million with positive EBITDA.

FRC seeks a buy-side finder’s fee for this exclusive, proprietary deal where ownership has not engaged sell-side representation.

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EXECUTIVE SEARCHES:

Cable/Wire AV CEO

LOCATION:         Miami/Fort Lauderdale area

OWNER:               Private Equity Group

REPORTS TO:    Board of Directors

JOB DESCRIPTION: The CEO is responsible for providing strategic leadership for the company by working with the Board to formulate strategic plans, policies and practices, build and lead a management team, and execute the initiatives and objectives necessary for the company to achieve its financial goals.

ESSENTIAL DUTIES AND RESPONSIBILITIES

  • Lead the development of the corporation's growth plans and strategic programs with Board partnership
  • Provide organizational leadership and alignment of team behind strategic and operational goals
  • Direct sales, operations, HR, compliance, and finance, becoming directly involved as necessary to achieve corporate milestones.
  • Provide operational input and leadership on decision making issues affecting the organization (e.g. evaluation of potential partnerships, acquisitions, logistics strategies, etc.)
  • Establish performance metrics and compensation and incentive plans that drive continuous improvement and the company to its financial targets
  • Enhance and/or develop a budgeting and planning processes, establish and enforce policies and procedures of the organization by way of systems that will improve the overall operation and effectiveness of the business
  • The successful candidate will help scale and transform the business towards a successful exit

QUALIFICATIONS

  • Five+ years’ P&L leadership experience with $50 million+ revenue within the Cable/Wire and/or Audio Visual B2B companies.
  • Preference to those with private equity owned companies
  • A track record of success building infrastructure, leading geographic expansion, and driving innovation
  • Strong technical skills, analytical ability, good judgment & strong operational focus
  • Has exhibited the ability to develop and execute creative growth strategies
  • Financial acumen

If you or someone you know is qualified and interested, look forward to working with you.