Business Overview

The company is a leading distributor of healthcare equipment in the southeast, servicing LTAC’s, LTC, Acute Care, Rehab Facilities, and Home Care organizations. They have been in business since 1999 and have consistently increased their customer base while maintaining a veteran staff for support and service.

The company’s annual revenues are consistently recurring and year over year continue to provide stellar profitable results. Owner is willing to transition with the potential buyer subject to final terms and conditions. The opportunity is SBA prequalified for preapproval.
Large hospitals working with their discharge planners

Financial

  • Asking Price: $1,612,000
  • Cash Flow: $435,241
  • Gross Revenue: $1,621,544
  • EBITDA: N/A
  • FF&E: $20,000
  • Inventory: $50,000
  • Inventory Included: Yes
  • Established: 2001

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:3,000
  • Lot Size:N/A
  • Total Number of Employees:4
  • Furniture, Fixtures and Equipment:N/A
Is Support & Training Included:

4 weeks

Purpose For Selling:

retirement

Additional Info

The company was started in 2001, making the business 21 years old.
The sale does include inventory valued at $50,000, which is included in the suggested price.

The business has 4 employees and is situated in a building with estimated square footage of 3,000 sq ft.
The building is leased by the company for $3,000 per Month

Why is the Current Owner Selling The Business?

There are all types of reasons why people choose to sell companies. Nevertheless, the real reason and the one they tell you may be 2 totally different things. For instance, they might say "I have too many other responsibilities" or "I am retiring". For many sellers, these reasons are valid. However, for some, these may simply be justifications to try to hide the reality of changing demographics, increased competitors, recent reduction in earnings, or a range of other reasons. This is why it is extremely vital that you not count completely on a seller's word, but rather, utilize the vendor's answer in conjunction with your total due diligence. This will repaint an extra reasonable picture of the business's current scenario.

Existing Debts and Future Obligations

If the existing entity is in debt, which lots of companies are, then you will have reason to consider this when valuating/preparing your deal. Lots of businesses take out loans in order to cover points like stock, payroll, accounts payable, so on and so forth. Keep in mind that in some cases this can imply that earnings margins are too thin. Lots of companies fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may also be future obligations to think about. There might be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that must be met or may result in charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do operating businesses in the location attract brand-new customers? Often times, operating businesses have repeat customers, which create the core of their daily revenues. Specific factors such as brand-new competitors sprouting up around the location, roadway construction, as well as personnel turn over can influence repeat customers as well as negatively impact future revenues. One essential point to take into consideration is the placement of the business. Is it in a highly trafficked shopping center, or is it hidden from the highway? Clearly, the more people that see the business often, the greater the possibility to develop a returning client base. A final thought is the general area demographics. Is the business located in a densely populated city, or is it located on the edge of town? Exactly how might the local mean house income effect future earnings prospects?