Here’s an M&A-style structured summary of Intrinsic Quality, LLC based on publicly available data:
Company Name: Intrinsic Quality, LLC
Solution: Designs and builds Automated Test Equipment (ATE) — including functional test systems, in-circuit test (ICT) fixtures, flash programming stations, and robotics-integrated test solutions for electronics manufacturing.
| Criterion | Data | Evaluation |
|---|---|---|
| Vertical | Electronics test engineering (ATE) | ✅ Fits Vertical Market Software? ⚠️ (Software plays a support role, but core is hardware + software) |
| Geography | Elk Grove Village, Illinois, USA | ✅ North America |
| Year Founded | 1985 (≈ 40 years in operation) Intrinsic Quality LLC+8Intrinsic Quality LLC+8Intrinsic Quality LLC+8Facebook+5LinkedIn+5Intrinsic Quality LLC+5Intrinsic Quality LLC+2Intrinsic Quality LLC+2Intrinsic Quality LLC+2 | ✅ >10 years |
| Employees (FTE) | 11–50 LinkedIn | ⚠️ Meets >30? Slightly below top end, but falls short |
| Revenue | Not publicly disclosed; presumed small SME | ⚠️ Unknown; likely < $3M |
| Funding | No indication of external funding found | ✅ Funding/revenue ratio presumably <1 |
| Ownership | Privately held; founder likely still involved, but no data on ownership % | ⚠️ Unclear; needs confirmation |
| Recurring Revenue | Not disclosed. Services and custom projects may offer some recurring elements, but no % given | ⚠️ Unknown; likely <50% recurring |
| Owned IP | They engineer bespoke fixtures, robotics integrations, and programming systems — likely own IP in test engineering | ✅ |
| Buy‑and‑Hold Fit | Small, niche engineering firm with specialist tech — potentially a fit | ✅ |
| Debt Profile | No public info on debt | ⚠️ Unknown |
Revenue Unknown / Possibly < $3M: Could be disqualifying based on size criteria. 🚩
Employee Count Below 30: Slight mismatch. 🚩
Recurring Revenue Unknown (likely <50%): ✳️⚠️
Ownership Detail Unclear: Must verify founder’s stake. ⚠️
Primary Focus is Hardware/Engineering: Vertical Market Software overlap limited. ⚠️
Established since 1985 — over 35 years of experience Intrinsic Quality LLC+1LinkedIn+1LinkedIn+3Intrinsic Quality LLC+3Intrinsic Quality LLC+3
Niche expertise in ATE, ICT, robotics, fixtures, programming stations
Private, founder-led positioning appears intact
No obvious sign of external funding or broker involvement — supports clean acquisition potential
IP development and ownership in custom test engineering
Annual Revenue & Recurring Revenue Breakdown — Are they > $3M and >50% recurring?
Employee Roster & EBIDTA Profile — Confirm team size and cost structure.
Ownership Structure — Founder or family ownership stake %?
Debt or External Financing — Is there any outstanding debt or investor funding?
Software Component — What percentage of revenue comes from software services/licensing vs. hardware/build?
Strategic Fit — How well does their test engineering capability align to your VBU (Vertical Business Unit)?
At face value, Intrinsic Quality represents a seasoned engineering-focused ATE player with strong niche capabilities and founder-led structure. However, critical gaps exist around revenue scale, employee count, and recurring revenue — each potentially disqualifying under your criteria. I recommend:
Next Steps:
Engage in initial diligence calls to capture concrete financials, ownership, recurring revenue ratios, and team growth plans.
Assess strategic synergy — particularly their robotics and automation platforms alignment with your VBU’s roadmap.
Consider whether a smaller tuck-in (<$3M revenues) could be acceptable if the founder remains as a CEO or holds equity.
Let me know if you’d like support drafting due diligence questions or modeling potential valuation scenarios!