Specialty Timber

Summary
This is a well-established family-owned business that focuses on the recycling and manufacture of timber flooring and other associated timber products, particularly from reclaimed and salvaged timber. Having successfully delivered commercial and high-end residential projects, the company is a reputable supplier of recycled timber products.

They have in-house machining and manufacturing, ensuring complete quality control. Whilst their excellent online presence generates a high volume of sales and inquiries.

Conveniently located in Bayswater; by visiting our Factory and Showroom you can quickly compare board sizes, timber types and the differences between recycled and re-milled timber.

The Business
This family-owned business, recognised for its integrity and commitment to deliver high- quality products and services, was acquired in 2003 and has been operating under current ownership for 23 years.

Since its inception, the company has been dedicated to offering high-quality, environmentally sustainable WA hardwood timber products that appeal to both the construction and home renovation markets.

The Company is equipped with modern office technology to support administration, including computers, accounting software, and other essential business tools for invoicing and customer management.

The Company has noticed a significant increase in consumer awareness regarding sustainable building practices, particularly in the use of recycled products. The demand for our product is in both the new and renovation markets, and as more consumers prioritise environmentally friendly choices, demand for the company’s products has grown.

Twenty years on, we’re proud of what we’ve achieved in partnership with the demolition industry, builders, architects and environmentally conscious DIYers alike. Together we’ve saved hundreds of thousands of cubic metres of timber from being destroyed by recycling and giving it a second life in another home, garden or business.

Client Base
The company’s sales breakup is 33% going to end users and DYI market, 67% going to existing clients, which include builders, floor installers, architects, and developers. The company maintains a strong relationship with its existing clients through regular service and high-quality products.

Potential
With the closure of commercial native forest logging, the supply of new timber products has significantly diminished. This shift in the industry creates a unique opportunity for the company to step in as a leading supplier of premium timber flooring. As the demand for sustainable, recycled building materials continues to rise, the company is perfectly positioned to meet this growing demand.

As the market for recycled building products expands, RTC is poised for continued growth, providing a sustainable, reliable, and premium solution to customers seeking exceptional timber products.

Expansion ideas.
• Flooring Installation
• The Buying & Selling of other flooring products. In addition to recycling and re- machining, the company buys and sells various timber species, which further diversifies its products and customer base.

Employees
• 2 x Working Directors: The directors are actively involved in the day-to-day operations of the business, overseeing both the operational and administrative aspects.
• 5 x Casual Workers: The Company employs casual workers to help with timber recovery and processing, product manufacturing, and warehouse operations.

Reason for Sale
Only selling due to retirement.

Vendor Flexibility
The Company’s directors are committed to accommodating the needs of its vendors and are

flexible in negotiating terms to ensure smooth supply chain operations and mutually beneficial relationships.

Barriers to Entry
● Warehouse space to store and process the reclaimed timber products efficiently.
● Materials handling equipment to handle the timber, eq. forklifts, and truck.
● Staff with the necessary training and skill to process the timber flooring.
● Established relationships with suppliers
The competition is relatively limited and primarily comes from salvage yards that reclaim and sell their own salvaged timber. However, due to the added value provided by re-machining and manufacturing processes, the company doesn’t have direct competitors who operate at the same level or scale. While other businesses process reclaimed timber, they operate on smaller volumes due to the time, equipment, and expertise required in the recovery and re-machining process.