Inovabed acquires Big Belly Banks - Albany Business Review

A maker of wall beds and other furniture is manufacturing a new, somewhat unlikely product at its Guilderland facility: colorful coin banks for children.

 

Inovabed, led by CEO Guy Bucey, recently acquired Big Belly Banks, a mom-and-pop operation launched decades ago by John Chesnut of Elizabethtown. Terms weren't disclosed.

 

The parties met as Chesnut was looking for a new third-party manufacturer, according to Bucey and Todd Kletter, managing partner of Albany consulting and investment group WP Strategic Holdings and Inovabed's chief strategy officer.

 

It turned out that the two businesses were using the same material to make their respective products. When Bucey learned of Chesnut's organic sales, he asked the owner if he might be open to something other than a contract-manufacturing relationship.

 

"It was a no-brainer," said Bucey, who, together with his wife, Sarah, the

company's CFO, last year bought out Inovabed founder Loren Sherman.

 

“This brand has been a labor of love for me, and it’s incredibly rewarding to know it will live on and grow with Inova," Chesnut said in a statement. 

 

"I'm confident that Guy, Sarah, Todd, and the team will preserve the heart of Big Belly Banks while taking it to places I could only imagine." The nearly 2-foot-tall banks have plastic bellies that hold around 1,000 quarters. Characters include dogs, dragons, giraffes and dinosaurs. Pricing starts at about $70, according to the business' website, which the new owners have overhauled.

 

The new line of business presents potential licensing opportunities for sports teams and other businesses, according to Bucey and Kletter. "At the end of the day, it gives us a little bit of diversification," said Kletter. Inovabed occupies about 100,000 square feet at Northeastern Industrial Park off State Route 146 in Guilderland, where it makes Murphy beds and other furniture that it sells directly to consumers and to major hospitality brands.

 

It also has a small showroom at Newton Plaza in Latham. The company's efforts to ramp up the direct-to-consumer side of its business are paying off. Its e-commerce sales are up more than 400% over last year, according Bucey, who said the retail sales allow the business to become more selective about taking on jobs for commercial clients.