Business Overview

This is an incredible opportunity to take ownership of a 22-year old
PROFITABLE TURNKEY CATV and IT equipment Manufacturing
and Distribution Company. The company sells both refurbished and
new products and accessories to major telecom, cable providers
and other IT OEM’s.

Today, the company operates out of 2 buildings located in the SE
part of the USA and its’ customers are mainly located in Latin and
South America which provides for huge growth opportunities in the
USA!! The price INCLUDES FFE & INVENTORY!!! The business
has been set up to operate out of a FREE TRADE ZONE qualified
space which is huge asset!!!! A major strategic advantage is the
company has built itself as a one stop shop for its’ customers!!! The
company is known for its product quality and availability,
engineering capabilities and superior customer service. With over
60% of the business repeat customers it is easy to conclude that the
ingenuity, quality of work and professionalism helps sustain the
relationships with the customers. The current Founder/Owners
believe there is significant growth potential for the business and a
few of the major opportunities include: 1) expand to the sale of its
products to domestic telecom and cable providers 2) expand into the
online retail sales of its products and accessories 3) expand the
product offering to include cell phones and accessories to its current
customer base in South and Latin America and 4) utilize the Free
Trade Zone status to expand into bulk trading of other electronics
and electronic components and accessories.

The company is licensed Free Trade Zone and ISO-45001, ISO-
14001 certified. It currently operates at approximately 40% of total
capacity. Building number 1 lease expires on 12/31/2022 but there
are extensions available if the buyer would like to stay in the same
location and building number 2 is owned by the sellers who will
enter into a market rate rental agreement for a term to be agreed
upon by the parties. The company currently has 40 full-time
employees with a majority that have been with the company for over
a decade (all willing to stay on).

The Founder/Owners are seeking to sell the company to
concentrate on their family, travel and other business ventures. The
Founders/Owners are willing to stay on during a transition period
and thereafter as a consultant if desired by the buyer. Seller is
willing to carry a portion of the purchase price back in the form of
either a note or an equity interest depending on the buyer and the
offer. WON’T LAST LONG DON’T WAIT!

Financial

  • Asking Price: $22,500,000
  • Cash Flow: $3,760,015
  • Gross Revenue: $13,929,628
  • EBITDA: N/A
  • FF&E: $475,000
  • Inventory: $1,814,049
  • Inventory Included: Yes
  • Established: 1999

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:55,000
  • Lot Size:N/A
  • Total Number of Employees:40
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The company is licensed Free Trade Zone and ISO-45001, ISO- 14001 certified. It currently operates at approximately 40% of total capacity. Building number 1 lease expires on 12/31/2022 but there are extensions available if the buyer would like to stay in the same location and building number 2 is owned by the sellers who will enter into a market rate rental agreement for a term to be agreed upon by the parties.

Is Support & Training Included:

Negotiable

Purpose For Selling:

More time with the family and other business opportunities

Pros and Cons:

No other competitor is fully integrated. There are competitors in each product line but none that offers the full range and bundles

Opportunities and Growth:

The current Founder/Owners believe there is significant growth potential for the business and a few of the major opportunities include: 1) expand to the sale of its products to domestic telecom and cable providers 2) expand into the online retail sales of its products and accessories 3) expand the product offering to include cell phones and accessories to its current customer base in South and Latin America and 4) utilize the Free Trade Zone status to expand into bulk trading of other electronics and electronic components and accessories.

Additional Info

The venture was established in 1999, making the business 23 years old.
The sale shall include inventory valued at $1,814,049, which is included in the asking price.

The company has 40 employees and is situated in a building with disclosed square footage of 55,000 sq ft.
The real estate is leased by the business for $17,685 per Month

Why is the Current Owner Selling The Business?

There are all types of reasons why people choose to sell businesses. Nevertheless, the true reason vs the one they tell you might be 2 entirely different things. As an example, they might say "I have a lot of other commitments" or "I am retiring". For many sellers, these reasons stand. However, for some, these might simply be reasons to try to conceal the reality of changing demographics, increased competitors, current decrease in earnings, or a variety of other reasons. This is why it is extremely important that you not rely entirely on a seller's word, yet rather, make use of the seller's solution together with your general due diligence. This will paint a much more reasonable image of the business's present circumstance.

Existing Debts and Future Obligations

If the current business is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your deal. Many companies borrow money so as to cover items such as stock, payroll, accounts payable, etc. Bear in mind that occasionally this can mean that revenue margins are too thin. Many businesses come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may also be future obligations to think about. There may be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with suppliers that need to be satisfied or may lead to charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do companies in the location attract brand-new clients? Most times, operating businesses have repeat customers, which form the core of their daily profits. Particular variables such as new competition growing up around the area, road building, and also staff turnover can affect repeat consumers and also negatively affect future earnings. One crucial point to take into consideration is the area of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the main road? Certainly, the more individuals that see the business often, the better the chance to build a returning client base. A final thought is the basic location demographics. Is the business placed in a largely inhabited city, or is it situated on the outside border of town? How might the local median house income impact future earnings potential?