SOLD: Tech–2214: Modern Environmental Lab in the North East

SOLD: Modern, Environmental Testing Lab in North East with Solid Profits

Testing for Water, Air and Soil

This full-service environmental lab serves industrial, municipal and residential clients. It provides testing services for drinking water, wastewater, and soils. It provides full support in all phases of projects including soil investigation, ground water sampling and potable testing services.  Revenue: 1.23M; DE: 440K; Asking Price: $2.2M

The Company also provides bench-scale treatability studies, natural attenuation evaluations, and microbiological testing supporting bioremediation and other catalytic subsurface remediation techniques.

The Company operates a 15,000 sq foot, modern, state-of-the-art laboratory. and boasts an excellent information management system. It is open to partial (50%) of 100% acquisition.

SERVICES

• The company’s comprehensive capabilities of testing drinking water, wastewater, and soils allows the company to support all phases of projects – from soil investigation, ground water sampling and potable testing services.
• Besides testing, company can provide guidance on soil / water remediation through bench-studies
• Combination of superior customer services and competitive pricing. Local small lab but with state-of-the-art services
• Modern lab and equipment and one of the best Laboratory Information Systems allows customers to view and download their current and archived results, and allows the lab to be more efficient

BUSINESS HIGHLIGHTS

The Company operates a 15,000 sq foot, modern, state-of-the-art laboratory. Its staff includes seasoned management team and professionals including chemists, biologists, chemical engineers, computer scientists, laboratory and field technicians, as well as support personnel.

The Company has one of the most comprehensive data-retrieval and information management system in the industry, provides real-time data resources that enables clients to generate electronic data deliveries on demand around the clock. The Company manages an extensive historical database of archived test results, which can be easily searched and retrieved.

The company continues to provide a high profit margin and reliable income. IT serves customers in four different states and is licensed for various capabilities by Department of Environmental Protection (DEP). The company is also pursuing NELAC certification which will open up even more opportunities.

GROWTH PROSPECTS

The company has consistently given solid results and has invested heavily in having state-of-the-art equipment, facilities and talented and well-trained staff. It provides for a very healthy cash flow. However, the environmental testing industry is a big business and the new owner with better resources can build on the existing foundation and take the company to the next level.

There are several ways to achieve this. One is to have better marketing and additional sales channels. About half of Company’s business comes from military contracts and from bids for EPA related work. It does have 20-30 commercial clients and it does some marketing to them, but it has never had a full-fledged marketing program to bring in new commercial clients. With more aggressive marketing, Company can increase its sales.

Another area is to widen its capabilities and also its geographic reach. In terms of capabilities, company is now pursuing opportunities to do radio isotope and organics. It is also pursuing NELAC certification that will allow it to qualify for more testing.

In terms of Geographic reach, the Company currently serves mainly three states with some work from fourth. The Company is located in one of the most densely populated regions of the Country and with better marketing and necessary certifications, it can get more business from neighboring states.

Additionally, depending on the buyer, the company can expand horizontally into other testing areas, including food testing, and even pharma testing. There are a number of labs which provide all of these services under a single roof.

EMPLOYEES

The company has about 12 employees plus four consultants (one each for marketing, accounting, IT and Insurance).

MAJOR EQUIPMENT

• HP GC-MS (3)
• HP-GC (4)
• ICP-MS (2)
• Lims (1)
• vehicles (3)
• Volatile Purge units (4)
• Auto samplers (6)
• IC-(1)
• Sample Storage units (10)
• Lab Instruments-various (10 units)
• Hoods, Lab supplies-Glassware, Balances, Field Instruments, Network-computers-Software, scanner, printers etc.(20 units)
• Special facility equipment and/or build-out: (Includes AC, controlled rooms, sample storage facility, inventory, lab benches, chillers, LIMS installation)

  KEY FACTS