Acquisition & Initial Stage
In 1984, Waxman Industries acquired Barnett Brass & Copper (then doing roughly $10 million in annual sales), paying about $12.5 million in cash and credit. This was Waxman’s strategic entry into direct‑mail and hardware‑supermarket
Strategic Scaling
- Expanded mail‑order reach: Waxman fueled Barnett’s growth by integrating its own product lines into Barnett’s catalog. Within just a few years, annual sales quadrupled—from ~$28 M initially to $100 M by 1995—driven by broader product offerings and aggressive catalog expansion.
- Distribution network: Barnett grew from one remote warehouse to a national footprint of 25–32 distribution centers by the late 1990s, drastically cutting delivery times and boosting customer satisfaction.
- New catalogs: By adding specialized catalog lines—for professionals, maintenance pros, and hardware retailers—Barnett increased mailings from 2.5M to 4.5M, growing the customer base from ~13,000 to ~51,000 in a single year.
IPO & Continued Momentum
- In April 1996, Barnett went public—fueling further expansion, doubling mail‑order reach, and breaking the $100 M revenue barrier by 1995.
- In 1997, Barnett acquired LeRan Gas Products from Waxman, added new warehouses (like Milwaukee and Puerto Rico), and grew its item catalog by 1,800 SKUs.
Supportive Capabilities from Waxman
Waxman played a pivotal enabling role:
- Funded overseas packaging facilities (e.g., Taiwan), enabling low‑cost sourcing.
- Shared its product lines and infrastructure to bolster Barnett’s market offerings and warehousing efficiency.
Why Founders ♥ This Story
- Fast, strategic scale-up: From ~$10M to triple-digit millions via proven catalog and distribution playbooks.
- Tactical integration: Operational know‑how, sourcing, and warehousing from Waxman accelerated growth early—without derailing autonomy.
- IPO and exit-ready architecture: By building repeatable growth systems—multiple catalogs, 30+ warehouses—Barnett was poised for public and private equity events (IPO in ’96, sale in 2000).
💡 Inspiring Lesson
Early‑stage founders often hit stagnation around $5–10M. Waxman demonstrates a powerful playbook: inject capital, leverage proven infrastructure, scale product reach and fulfillment, then prime for liquidity events. The result? A thriving, high-multiple outcome—and a love story for founders who want scale with support.