Custom Kitchen Cabinet Manufacturer, 26K Sq Ft Facility on Long Island

$4.0M

Revenue

$1.0M

SDE

4.4x

Multiple

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Full Editorial Writeup

This is a custom kitchen cabinet manufacturing operation based in Melville, New York, running out of a fully equipped 26,000 square foot facility on Long Island. The company produces custom cabinetry and millwork, selling into a mix of end customers, builders, and contractors in one of the highest-cost, highest-density housing markets in the country. In 2025 it generated roughly $4M in revenue and just over $1M in seller's discretionary earnings, a healthy 25% owner-earnings margin for a shop-based manufacturer.

The headline feature is a $2.5M+ contracted backlog already booked for 2026, which gives a buyer more than half of next year's revenue in hand at close. That forward visibility is unusual for a business of this size and materially de-risks the first year of ownership if the backlog holds up under diligence. The listing also emphasizes meaningful excess production capacity, meaning the current equipment and footprint can support significantly higher volumes without a big new capital outlay.

The natural buyer is not a passive investor. This is a hands-on manufacturing business tied to residential and commercial construction cycles, and it is positioned as a bolt-on for an existing cabinetry or millwork shop, or a vertical integration play for a builder or general contractor who wants to own its cabinet supply. Real estate is listed as owned but is not clearly included in the asking price, which matters given Long Island industrial real estate values.

Why we like it

Earnings quality is solid on paper: about $1.027M of SDE on $4M of revenue is a 25% owner-earnings margin, strong for a job-shop manufacturer. The key question is how much of that cash flow depends on the owner personally running sales, estimating, and shop management, because a manufacturer this size often has the owner wearing three hats.
The $2.5M+ backlog booked for 2026 is the single best feature here. Walking into a deal with more than half of next year's revenue already contracted gives a buyer real visibility and cushions the ramp during a transition, provided those contracts are firm, deposited, and transferable.
The 26,000 square foot facility comes fully equipped and turnkey, and the listing claims capacity well beyond current volumes. That means an operator can push more revenue through the same fixed footprint and equipment base without a major capex event, which is where the margin expansion lives.
The strategic-buyer angle is genuine. For an existing cabinet shop, a builder, or a GC looking to vertically integrate, this is an accretive bolt-on with instant Long Island production capacity and a book of contracted work, not a speculative startup.

How to improve it

Pull the customer and project concentration in the first 30 days. Custom cabinet shops often lean heavily on a handful of builders or GCs, so map what percentage of revenue and backlog sits with the top three accounts and lock in relationships during the transition window.
Formalize estimating and bidding into a documented system. Margin in custom millwork is won or lost at the quote stage, and if pricing lives in the owner's head, standardize it into templates and target gross margins before the owner walks out the door.
Attack the excess capacity claim with a second shift or added throughput. If the facility truly runs well below capacity, adding a shift or a second sales channel converts idle fixed overhead into incremental margin faster than any other lever here.
Build recurring or repeat channels through builder and multifamily relationships. Chasing one-off residential kitchens is lumpy, so signing preferred-supplier arrangements with production builders or property managers creates predictable volume that smooths the construction cycle.
Tighten working capital and job costing. Manufacturing this size ties up cash in materials and WIP, so implement job-level costing to catch underwater projects early and negotiate better lumber and hardware terms as volume grows.
Reduce owner dependency by hiring or promoting a shop foreman and a dedicated salesperson. The valuation and the multiple both improve materially once the business runs without the seller, and this is the most direct way to protect the $1M cash flow post-close.

Diligence notes

Verify the $2.5M backlog line by line. Get signed contracts, deposit records, and project timelines, and confirm the work is transferable to a new owner rather than tied personally to the seller's relationships, because the entire forward-visibility thesis rests on this number being real.
Clarify the real estate. The listing says real estate is owned but not disclosed whether it is in the $4.5M price, and on Long Island the difference between an operations-only sale and a building included is enormous. Nail down whether you are buying the facility, leasing it, or negotiating it separately.
Stress test the SDE add-backs and margin sustainability. Ask for three years of financials, not just 2025, because a single strong year with a rich backlog can mask cyclicality. Confirm what portion of the $1.027M is genuine discretionary earnings versus normalized owner labor you would have to replace.
Assess labor and the skilled workforce. Custom cabinetry depends on experienced millworkers and installers, so understand headcount, wage rates, tenure, and whether key craftsmen stay after the sale, since losing the shop's talent guts the capacity you are paying for.
Confirm equipment condition and remaining useful life. Turnkey and fully equipped can mean aging machinery near replacement, so inspect the CNC and woodworking equipment, check maintenance records, and budget for deferred capex that the seller may be understating.

Source

Originally listed on BizBuySell. View original listing →