$5M investment to gear up American Broach for 100 new jobs

American Broach & Machine President Ken Nemec doesn't believe anything happens without big goals and dreams. That's why his cutting tool and broaching machine business has a vision for growth. American Broach's new, 42,880 square-foot Ypsilanti facility is a part of that vision, and the $5 million they plan to invest there will lead to 30 jobs over the next three years. 

 

But Nemec doesn't plan to stop there. 

 

"We're aggressively growing our business," he says. "We plan to grow at 30 percent per year for the next three to four years. Within five years, American Broach will grow by about 100 employees, fill both buildings completely, and hopefully triple our total sales."

 

The $5 million Nemec plans to invest includes the $1 million purchase of the new building, as well as $650,000 to be spent renovating it inside and out, including new lighting, HVAC, and a new blower system. The remainder will be dedicated to new machinery that will allow the company to double its production, as well as training new employees. 

 

"It's an expensive job to train people," says Nemec. "We have five people in the new training program right now. You have to work at half speed to show them how it works."

 

Ten of the initial 30 new employees projected have already been hired, and Nemec says the company is always looking for experienced staff. The company's growth has been aided by Ann Arbor SPARK, which has helped American Broach secure incentives from the Michigan Economic Development Corp. and the City of Ypsilanti. MEDC is offering the company a $13,000 incentive over 12 years, and Ypsilanti has offered them an additional six-year incentive valued at more than $236,000.