Custom Cabinetry Manufacturer’s Success Story
When a custom cabinetry manufacturer faced steep declines in sales and rising foreign competition, they turned to MATAAC for help. What followed was a powerful turnaround, fueled by strategic planning, federal funding, and expert support through the TAAF program.
Challenges
When this Custom Cabinetry Manufacturer sought the assistance from MATAAC, their eligibility to participate in the TAAF program was established based upon the TAAF program’s 25% rule identifying a specific line of products was trade-injured.. During a 12 month period, qualifying sales decreased by 10.17% and qualifying employment decreased by 8.63% within the same 12 month period.
In addition, imports of similar and like products had increased by 31.41% during the same 12 month period. Petition Certification as Trade Impacted Manufacturer was approved.
Solutions
With Petition Certification, MATAAC was able to prepare this Custom Cabinetry Manufacturer’s Business Recovery Plan.
After working in partnership with the client-firm’s management team, a complete diagnostic review, SWOT analysis, and other key business improvement strategies were reviewed and a Business Recovery Plan was developed.
Technical assistance was requested and approved for Marketing, Sales, Manufacturing and Managerial Finance projects. The client-firm received $135,000 for project implementation. MATAAC cost-shared $67,500 in federal funds in the implementation of identified improvement projects. Specific projects included but were not limited to:
- Website Redesign
- Quoting and Ordering System Improvements
- Marketing projects along with other client-specific projects
Success Story
After completing the TAAF Program with MATAAC’s assistance, this Custom Cabinetry Manufacturer experienced continual growth improvement for four (4) consecutive years.
- First Year after Program Completion:
- Sales increased over $1.1 million dollars (12.5%% Increase in sales in 1 year)
- Employment grew by 10 jobs (12.82% Increase in employment in 1 year)
- Second Year after Program Completion:
- Sales increased over $500,000 over year 1 (5.76% yearly increase)
- Employment held consistent from previous year
- Third Year after Program Completion:
- Sales increased $1.4 million over year 2 (17.71% yearly increase)
- Employment grew by and additional 11 positions from year 2 figures
- Fourth Year after Program Completion:
- Sales Increased over $3 million over year 3 figures (32.65 % yearly increase)
- Employment increased over 23 additional positions over year 3 numbers
- After 4 years of growth, this manufacturer experienced total performance metrics over At-Certification Figures of:
- Sales increased over $6 Million (Overall 68.68% increase)
- Employment increased by over 44 position (Overall 56.41% growth)
- Operating Income improved to $1.4 Million after At-Certification Losses
How MATAAC Serves Mid-Atlantic Manufacturers
This exciting success story is just one of many examples of how a company successfully recovered and thrived through MATAAC’s expertise and funding support through the TAAF program.
For over five decades, MATAAC (MidAtlantic Trade Adjustment Assistance Center) has helped manufacturers tackle trade challenges, regain competitiveness, and boost profitability. MATAAC provides solutions to manufacturers located in Delaware, Maryland, Pennsylvania, Virginia, West Virginia, and Washington D.C. MATAAC has been chartered by the Economic Development Administration of the U.S. Department of Commerce with responsibility for the management of Trade Adjustment Assistance for Firms (TAAF) program. The TAAF program is a crucial resource that supports businesses in navigating global market shifts. With TAAF resources, MATAAC was able to help this manufacturer overcome trade challenges.