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Metalworking company for sale near the border with Germany and Poland

Small business (up to 1 million EUR)

The subject of the sale is 100% of the shares in a limited liability company (s.r.o.).

Sold

Price: 12 000 €
Region:
Country: Czech republic

The company for sale, which works in the field of metalworking, was founded in 2012 by one Czech owner. This was a step that summed up the logical result of the development of production and growth of the company from ICP, which began its activities in 1993, to the production LLC.

With the development of the company, various metalworking and other equipment and a production workshop were purchased.

Production specialization:

The main activity is CNC machining of ferrous and colored materials.
CNC machining of machine parts made of stainless steel, steel, cast iron and plastic, CNC milling and conventional milling, CNC turning and conventional turning of steel, aluminum, stainless steel, cast iron, drilling, boring and grinding of metals, specialization in stainless steel processing, CNC milling of steel, aluminum, stainless steel, cast iron, workpiece size 700 x 350 x 400, processing of semi-finished products, forgings, castings, stampings.

Supply of products: 60% to the automotive industry, 40% to the electronic and water industry.

The company's turnover in 2015-2019 (before the pandemic) is from 5,000,000 to 7,000,000 CZK.

Employees: 6

Current economic situation

After several successful years of commercial and manufacturing activities, 2020 saw a big drop in orders due to the coronavirus crisis. In 2021, the situation continued to deteriorate.

In view of the deterioration of the economic condition of the company and in order to overcome the crisis, production equipment and a production workshop were gradually sold.

Whereabouts

The company is located in the ancient town of Hradek nad Nisou (8000 inhabitants) and has a strategic location: 10 km from Germany and 7 km from Poland.

The format of the transaction and the activities of the enterprise after the change of ownership

The subject of the sale is 100% of the shares in the limited liability company (s.r.o.)
Price: 2000 euros under Option 1 or 35,000 euros under Option 2. (See below)

The following 2 sales options can be considered:

  1. The new owner, buying the company for the amount of 2000 euros, will further repay the company's debts at the expense of internal reserves, own funds and in the process of revitalization (recovery) of the company.
  2. Of the amount of the transaction in the amount of 35,000 euros received for the sale of 100% of the share in the company by the former owner, the existing debts of the company will be fully repaid and the company will be transferred to the new owners "clean" without debts.

The current director (jednatel) of the company, by agreement of the parties, is ready to continue his work after the change of ownership, but the most optimal seller seems to be a change in the management of the company after its acquisition by the new owner. In this case, the current management of the company is ready to assist the new management (if it is interested) for a transitional period under a separate agreement with the new owner.

The purity of the transaction, the absence of hidden financial and legal obligations is guaranteed by the personal liability of the owners, legal mechanisms and regulations provided for in the Czech Republic.

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