Value Drivers in the Molding Industry

Many injection molding company owners and investors ask us about valuation. There is no quick or easy answer. The value of an injection molder, custom processor or other engineered component manufacturer depends on a multitude of factors, including:

  • Size
  • Profitability, both current and historical
  • Customers, including concentration
  • End markets
  • Growth opportunities and projections
  • Management team
  • Employees
  • Location
  • Curb appeal of the plant, both exterior and interior
  • Capacity utilization
  • Equipment, including size/age/number of presses and auxiliary equipment

Transaction multiples have been steadily rising in recent years and now is a better time to sell a manufacturing business than at any point since the Great Recession. We have real-time market insight and would be happy to discuss the value of your molding business or plastics industry investment.