Business Overview

Recession Proof Business / High Profit Margins
This established and highly profitable distribution company has been operating successfully for nearly a decade. Their primary revenue stream comes from wholesaling to nationally known brands that are offered in large, well known retailers both in the US and Europe. The products ship directly from the manufacturing facility to the retailer’s warehouses, thus eliminating any need for costly warehouse space in the U.S. This business has not only survived it has seen a steady increase in orders and sales during the recent events related to COVID-19 as the clients they sell to have strong online presence and marketing.

Key Investment Considerations:
• $500,000+ in Seller’s Discretionary Earnings
• $1,500,000+ in Gross Reveue
• 2020 is on pace to be best year yet
• Industry expected to exceed 29 billion dollars by 2020
• Can be run from home office with limited travel
• Virtually hands-off manufacturing process
• The contract manufacturer has capabilities to produce additional products for increased growth
• There is also room to expand sales of the current products as not all retailers in the industry currently carry these products
• Long term customer relationships
• Leading industry supplier in the United States
• High quality products with attention to detail

As always, other brokers are welcome. Bring your qualified buyers while this opportunity still exists


  • Asking Price: $1,200,000
  • Cash Flow: $529,219
  • Gross Revenue: $1,531,200
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:1
  • Furniture, Fixtures and Equipment:N/A
Is Support & Training Included:

4 weeks

Purpose For Selling:


Why is the Current Owner Selling The Business?

There are all types of reasons why individuals choose to sell businesses. Nevertheless, the real reason vs the one they tell you may be 2 entirely different things. As an example, they may state "I have a lot of other obligations" or "I am retiring". For numerous sellers, these reasons stand. But, for some, these may simply be excuses to try to conceal the reality of changing demographics, increased competitors, current reduction in revenues, or an array of other reasons. This is why it is extremely essential that you not rely entirely on a seller's word, however rather, make use of the vendor's solution combined with your general due diligence. This will paint a more reasonable picture of the business's present circumstance.

Existing Debts and Future Obligations

If the current business is in debt, which many companies are, then you will certainly need to consider this when valuating/preparing your deal. Many companies take out loans with the purpose of covering things like stock, payroll, accounts payable, etc. Bear in mind that sometimes this can suggest that earnings margins are too tight. Lots of companies fall into a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may also be future commitments to think about. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that need to be fulfilled or may lead to fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do operating businesses in the area bring in new customers? Most times, companies have repeat consumers, which create the core of their daily profits. Certain variables such as new competition growing up around the area, roadway building and construction, and also personnel turnover can impact repeat consumers and also negatively affect future earnings. One important point to take into consideration is the placement of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Certainly, the more individuals that see the business on a regular basis, the higher the opportunity to develop a returning client base. A final thought is the general area demographics. Is the business placed in a densely inhabited city, or is it located on the edge of town? How might the regional typical household income impact future revenue potential?