The Cool Product Gets Attention. The Business Creates Value.
June 16, 2026
By Tom Cavanagh, Vice President & Shareholder
Tom Cavanagh
Vice President & Shareholder
The “Coolest Thing Made in Iowa” is a fun reminder that there are a lot of impressive companies in this state that most people never hear about. Many are not household names, but they are making products that take real skill, specialized knowledge and a team that knows how to get hard things done.
That is also how buyers tend to look at manufacturing businesses. The product matters, of course. But in a sale process, the conversation usually moves pretty quickly to what sits behind it. Why do customers keep coming back? What makes the product difficult to copy? How strong is the team? Can the company keep performing if the owner is not involved in every major decision?
Those are useful questions even for owners who are not planning to sell. A good place to start is with the company’s story. Not the marketing version, but the practical version. What does the company do especially well? Maybe it turns around custom work quickly. Maybe it has deep engineering knowledge, specialized equipment, long-standing customer relationships, or a workforce that knows how to solve problems others avoid. Whatever it is, owners should be able to explain why it matters.
The next question is whether the company can keep doing those things consistently over time. Many great Iowa manufacturers were built by hands-on owners who know the customers, the equipment, and the people. That can be a major advantage, but it can also create risk if too much knowledge or decision-making sits with one person. Building the next level of leadership and documenting key processes can make the business stronger, whether it is ever sold or not.
The numbers matter too. Margins, customer concentration, working capital and future capital needs all help tell the story. Good financial information does not need to be fancy, but it does need to be clear. A great product gets people’s attention. A strong business behind it is what gives an owner more options.
Published in ABI Business Monthly (in Corridor Business Journal and Quad Cities Business Journal), June 16, 2026.