Business Summary:
THE COMPANY
The business, located on South Yellowstone Highway in Idaho Falls, has been meeting the demand of Eastern Idaho since its inception in 1970. Originally the owners provided custom upholstery service but over the years the dynamics and demand for other products has progressed to where FOAM is now the primary product. FOAM for custom mattresses, chairs, bed covers, and camping equipment now generates 70% of gross sales. The office, storage, and production area are centered in a 6,800 square foot commercial building. The owners have modernized the front with stucco and trim. The lot is approximately 19,600 square feet with frontage on Yellowstone Highway.
THE LOCATION
Statewide Interiors and FOAM is centrally located for servicing Pocatello to Jackson Hole Wyoming customers. The large lot with Yellowstone frontage continues to see increased car counts and now with the Yellowstone-Sunnyside connector to Idaho Falls commercial property is a premium. For over 35 years, customers have been very familiar with the location and quality products. Idaho Falls is in the heart of recreation for the west with world class hunting, trophy fishing, excellent golfing, white water rafting, and international skiing; Idaho Falls has it all. Statewide Interiors and FOAM has the largest foam inventory within a 70 mile radius. Salt Lake City and/or Boise are home to the closest competitors.
THE STRENGTHS
Although the owners continue to spend about $1,000 per month on advertising, repeat customers represent 50% of gross sales. Some of these customers bring in furniture that was upholstered 20 years ago. Many customers come in for premium custom beds at wholesale price. Statewide Interiors and FOAM are known for the highest quality, longest lasting product. How would you replace the customer base that looks to Statewide as the destination supplier for all their foam products?
THE REASON FOR SELLING
The success of the business has been based on the hard work of the owners. The operation has never been better; sales are steady with 80% in foam and 20% upholstery. The owners are not maximizing the demand they get from their customers. They are making a comfortable living. The core reason for the owners to sell: they are tired and want to play without having the concerns of ownership.
THE IDEAL BUYER
This is such an excellent opportunity for a husband/wife team with marketing skills and some Internet savvy to promote its products. An upholstery background would be beneficial but not mandatory. The demand and margin for foam products could be expanded with a foam cutter/slitter and a CNC machine for more custom product. Web Site marketing would help promote sales. There currently is no competition in Eastern Idaho and the current operation has room to expand its product line.
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