What do you really need to know when buying or selling an Injection Molding Business?

Whether you are preparing to sell your injection molding company or considering acquiring one, one thing is certain: the real story isn’t only in the financials—it’s on the factory floor. Operational due diligence provides a clear, unbiased view of how well a business actually runs. For sellers, it’s a chance to highlight strengths and justify valuation. For buyers, it’s an essential safeguard against hidden risks that could drain profits post-acquisition.

Why Operational Due Diligence Matters?

For Sellers:

When buyers evaluate your business, they aren’t just looking at revenue and EBITDA. They want to know:

• Are machines properly maintained and validated?

• Is the scrap rate under control?

• Are processes standardized, or dependent on “tribal knowledge”?

• Is the facility compliant with OSHA, FDA, ISO, or other regulatory standards?

By proactively conducting an operational due diligence review, sellers can identify gaps and address them before going to market. This not only strengthens negotiation power but can also shorten deal timelines by eliminating surprises.

For Buyers:

Financial statements can mask operational weaknesses. A plant might look profitable on paper but could be sitting on millions in deferred maintenance, outdated tooling, or quality compliance risks. A structured operational due diligence uncovers:

• True equipment lifecycle and replacement costs.

• The real cost of scrap and downtime.

• Workforce skills and training levels.

• Compliance gaps that could trigger fines or recalls.

Catching these issues early helps buyers avoid overpaying, plan capex more accurately, and ensure smoother post-close integration.

What an Operational Due Diligence Covers?

At Plasteck Consulting, our evaluations go beyond a surface-level audit. We assess:

• Physical Plant & Infrastructure – readiness for expansion, energy efficiency, facility condition.

• Equipment & Tooling – machine health, calibration records, tooling lifecycle, cooling/drying systems.

• Operational Systems – cycle time validation, downtime tracking, ERP/MRP integration.

• Quality & Compliance – ISO Standards, FDA documentation, OSHA safety practices, corrective action systems.

• Staff & Training – competency levels, cross-training, and reliance on tribal knowledge.

The Value Created

• For Sellers: A stronger case for valuation and buyer confidence.

• For Buyers: A clearer picture of ROI, risks, and capex planning.

• For Both: Smoother, faster transactions and fewer surprises during closing.

Benefits of Operational Due Diligence

 If you’re planning to sell your injection molding business—or evaluating one for acquisition—don’t rely on financials alone. Contact Plasteck Consulting today to schedule an Operational Due Diligence Review and protect the value of your deal.