GOTTESMAN COMPANY &  Cooperating Intermediaries Seller Profile
United States, Canada & Europe Since 1985
America’s International Network of M&A Business Brokers

Acquisition Opportunity

Aviation Flight Training Simulator Manufacturer

Business Description:  The Company has manufactured aircraft simulators for twenty-seven years.  Their products include desktop simulators and procedure trainers; AATDs (convertible generic cockpits); FTDs (specific cockpits, generally matching training aircraft) and recently FFSs (actual airline and corporate cockpits). Advanced simulators are offered with or without motion. They recently introduced Virtual Reality enhancements to a helicopter simulator and sold 32 units to the Army and Navy for $35,000 per unit for evaluation in battle field simulation training.  They are carrying a $3,175,000 back log into 2019 that includes their new VR military simulators, three King Air and one Cessna Caravan FTDs and ten Garmin GTX procedures trainers. 

Opportunity:  Boeing, Airbus and regulatory authorities project an unprecedented need for airline and corporate pilot training to meet the pilot shortage projected for the next twenty-five years (29,000 pilots annually, Boeing).  The training industry is adapting to meet these needs by:  1.  Building new training facilities; 2.  Increasing student throughput; 3.  intensifying the use of simulators; and, 4.  Employing Virtual Reality simulators.  FTDs will become an essential training tool because of the focus, intensity and SAFETY required in ab initio professional pilot training.  The training industry is beginning to make this shift, and the seller is well positioned to provide FTD trainers that will become a necessity in these programs.

Distribution:   The training devices are sold globally.  The Company has relied on direct sales and service (85% of sales) and has developed a limited network of dealers and distributors (15% of sales).   Sales and Marketing includes attending aviation trade shows, globally; traditional advertising; and its website.  The Company employs a full time Vice President of Sales and Marketing.

Operational Strengths:   The Company has positioned itself as a price leader against its major competitors.  A pricing advantage has been developed through innovative design and engineering, processes that are continually being improved.  The quality of the Company’s products is competitive in all respects.

Sellers’ Objectives:

  1. To take advantage of a training market that is turning increasingly to simulator technology to improve the quality of training and to reduce its cost;
  2. To provide capital to be able to meet growing demand; increase sales and marketing efforts; expand sales and service centers globally; to fund new product development; and to establish dominance in their niche.
  3. To provide diversity and liquidity for their personal estates.

The Transaction:  The Founder who is CEO desires to remain in his position indefinitely and to leave stock on the table.  The other Founders, are willing to sell all of their stock in the Company.

Financial Summary (000’s)

 

2019 Est by Seller

2018

2017

Revenue

$6,250

$4,950

$4,043

Adjusted EBITDA

$900

$917

$359

 

Other Highlights

Location

Financials

Management Team in Place

Years in Business

SIC Classification

Western States

Reviewed

Yes

25+

3728-07

Direct All Inquiries to:
Gottesman Company
Refer to:  S-1852 JML
Tel: 212-330-8010     Fax: 646-434-4557
E-mail: office@gottesman-company.com

r 3/6/2019

Gottesman Company – 200 East 71st Street – New York, NY 10021 www.Gottesman-Company.com

This document is confidential and contains proprietary information belonging to Gottesman Company. It is unlawful to reproduce or distribute without express written consent of Gottesman Company. No warranties or representations are made in connection with the information provided herein. Gottesman Company is an M&A Business Broker, whose mission is to locate opportunities and introduce participants.