ALS Outdoor Solutions | Application Preview
ALS Outdoor Solutions is seeking government grants to enhance its marketing and sales efforts for UTVs, a key component of their expansion strategy in the outdoor service industry. Established in January 2021, the business has roots dating back to 2006 under a different name and is focused on professional growth through staff education, new equipment, and service offerings.
The business is in a favorable position for growth, noting that they have a solid understanding of financial management, as evidenced by their positive DnB score and the owner's strong credit. Despite a preference for organic growth, they acknowledge that the high costs inherent in the industry—such as equipment, insurance, and skilled labor—necessitate external funding. ALS Outdoor Solutions operates with a cost structure aiming for 60% cost of goods sold, 25% overhead, and 15% net profit, maintaining these targets over the past three years.
Recent years have shown significant growth, with 14% in 2021 and 21% in 2022. The business generates 80% of its income from the peak season of April to December, which requires careful financial planning due to ongoing winter expenses. They prioritize well-compensated labor, offering benefits like vacation time and allowances, recognizing the importance of investing in skilled workers, albeit challenging for a small business.
Currently, ALS Outdoor Solutions faces competition from one local competitor they previously mentored. While the competitor performs well physically, they lack sound financial practices, leading to some project losses on price alone. The business collaborates with other local companies to form a "one-stop shop" for customers, ensuring comprehensive service offerings, even if it means outsourcing certain tasks.
The company prides itself on its financial acumen and commitment to customer education, contributing to its reputation as a trusted and sustainable business in a market that has seen a reduction in reliable competitors. Even amid competition with less scrupulous practices, ALS Outdoor Solutions has established itself as a reputable player in the industry.
-
General Information
Business Registration Number: 861209116
Location: Tonica, IL, United States
Length of Operation: 11plus
Number of Employees: 1-10 Employees
Annual Gross Income: $250k to $500k
Annual Gross Expense: $100k to $250k
Open to Loans: YES
-
Funding Usage
To market and sell UTVs, as part of our plan to expand our outdoor offerings to our clientele.
-
Business Plan
We incorporated in Jan 2021. For growth reasons and investment reasons as well. I personally started the business around 2006, under a different name. We plan to grow by continuing to educate our staff, and invest in equipment and new services/ offerings. We aim to be the most professional provider of our services in this area. There is much room for growth in this industry, and we understand p&L and balance sheets. The business has a good DnB score, the owner has a great credit score. As much as we would prefer to grow organically, this is a high-investment industry- the equipment, insurance costs, labor must be paid well. The business operates on a goal of 60% COGs, 25% overhead, 15% net profit. We have maintained this goal over the past 3 years. 2021 had 14% growth over 2020 2022 had 21% growth over 2021 80% of our gross income is generated from April- dec1 each year. This takes much planning, as the bills don’t stop in the winter. The labor is paid well, does recieve some benefits: 40hours vacation, work boot allowance, weekly paid crew meal, cell phone allowance. This may not seem like much- but investing in skilled labor is important. For a small business, this can be a struggle.
-
Self Identified Competition
1 other local competitor, we mentored as they started their business. They are decent at the physical work, but do not understand the money side. We have lost projects to them, on price alone. As well as We do form alliances with other competitors for the good of the customer, by being a “one stop shop”. If we cant do a service, ie tree removal, we will bring in another company to complete. Competition is good, but it is challenging to compete against the companies that don’t play by the rules- proper insurance, cash labor, paying vendors, pricing services and goods accurately. We have a great understanding of small business financials. All our bills are paid, on 15th and 30th of each month. We not only sell to a customer, we educate on the process as well. At this point, this is a sustainable business. We are well known and trusted. 5 years ago there were 6-10 reputable companies in the same industry. Now, there is 3-4. However there are many fly by nights.
-
Contact Applicant
Subscribe to our Administrator Dashboard to gain full access to this application. Learn More
