this well known manufacturer and retailer of air compressors was founded by the current owners in 1982. Since that time it has developed to be recognised as the air compressor specialist of choice in its locale, a busy part of north london, and further afield. Operating from excellent light industrial premises, the company assembles the compressor systems and then sells them directly and through a network of dealers. To avoid ‘brand confusion’ those sold directly trade under a different brand name to those sold through the dealer network. The breakdown of direct and dealer sales is circa 50/50. A range of circa thirty standard models are manufactured of varying capacities, with the full bills of material of each model being held on computer. Compressors are either electric or petrol motor driven: electric models are of either single or three phase electricity. The compressor systems have a wide variety of uses with the majority being used by the following industries/trades/professions: • tyre dealers • garage/motor dealers • dentists • garment manufacturers • metal processing • timber trade • printing trade in essence, compressors are utilised wherever there is a need for a constant supply of compressed, high pressure air. Of total sales generated each year, circa 83% is from the sale of new (and occasionally reconditioned) compressors with the balance from servicing and service parts. Circa 90% of servicing is undertaken in house. A full range of spare parts and air tools are stocked. Systems retail between £300 and £1,200. The company sells circa 150 systems per annum. The acquisition of this business represents a great opportunity for a new owner with renewed vigour and additional investment funds to drive the company to even greater sales and success. Equipment the full range of light manufacturing equipment is installed: complete assembly of all models is undertaken in house. Customer service the highest levels of personal and attentive service sit at the heart of the business’s customer engagement strategy. Key strengths the business has a superb reputation for the manufacture, sale and servicing of robust air compressor systems. Most new business to date is won through referrals and direct ‘word of mouth’ recommendation, a great testament to the quality of the product. By using both direct sales and sales through dealers, the business is able to generate a greater level of total sales than through direct sale only. Servicing, service parts and spare parts are high margin activities which will only increase as more new systems are sold. The business utilises high quality components, which further adds to the quality of the finished product: honda petrol engines and single and three phase electric motors are exclusively used. Growth and expansion investment funding for the recruitment of a dedicated sales team, initially modest in size, would be of great benefit and would drive an immediate increase in sales. Similarly, an increase in marketing activity would create greater awareness of the business and the products sold.
