Listing ID: 70151

Business Overview

• Pickup and Delivery
• Current Contract ISP
• 9 Routes
• 10 vehicles included in purchase price, mostly late model (Estimated Value $345,000)
• 8 Drivers and 1 manager, all interested in transitioning with new owner.
• Growing Market
• This is a carve out of total CSA therefore all financials are estimates
• This is a great opportunity for a new contractor to enter FedEx P&D business.
• This business will not qualify for SBA financing due to carve out.

Financial

  • Asking Price: $700,000
  • Cash Flow: $285,000
  • Gross Revenue: $1,015,000
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2007

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:N/A
  • Furniture, Fixtures and Equipment:N/A
Purpose For Selling:

Pursuing other interest

Additional Info

The company was founded in 2007, making the business 15 years old.

Why is the Current Owner Selling The Business?

There are all kinds of reasons people decide to sell companies. Nonetheless, the real factor and the one they say to you might be 2 entirely different things. For instance, they may claim "I have way too many various responsibilities" or "I am retiring". For lots of sellers, these reasons stand. However, for some, these may just be excuses to attempt to hide the reality of transforming demographics, increased competitors, current reduction in earnings, or a variety of other factors. This is why it is really important that you not count entirely on a vendor's word, yet instead, utilize the seller's solution in conjunction with your general due diligence. This will repaint a much more sensible image of the business's current scenario.

Existing Debts and Future Obligations

If the existing company is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your deal. Lots of businesses take out loans in order to cover items such as inventory, payroll, accounts payable, so on and so forth. Keep in mind that in some cases this can suggest that profit margins are too small. Many organisations come under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may likewise be future obligations to think about. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with suppliers that should be met or might lead to fines if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the location bring in brand-new consumers? Often times, operating businesses have repeat clients, which create the core of their daily earnings. Certain elements such as new competition sprouting up around the area, road building and construction, as well as personnel turn over can affect repeat customers as well as negatively affect future incomes. One essential thing to take into consideration is the location of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Clearly, the more individuals that see the business often, the greater the possibility to develop a returning consumer base. A last thought is the general location demographics. Is the business located in a largely populated city, or is it situated on the edge of town? Just how might the local typical household income impact future income prospects?