Listing ID: 72468
THIS DISTRIBUTORS CORE CLIENTELE ARE OWNERS OF REGIONAL SUPERMARKETS, CONVENIENCE STORES, BODEGAS AND OTHER SMALL STORES. What customers see when they enter the facility is a selling floor setup and organized exactly like a traditional warehouse club with proper signage, products and inventory all neatly displayed and organized on metal racked shelves.
The 50,000 square foot warehouse is well organized and filled from floor to ceiling. The $5,000,000 of inventory includes a wide assortment of non-perishable food items, over the counter drugs, beauty aids and other dry goods. In all they stock over 6,000 different items that are routinely purchased by their loyal customer base who come from all over the region. This company carries many items that no other competitor has. All the items are bar-coded and all purchases are recorded on the POS system. In addition the facility is monitored by security camera to prevent theft. The company owns 4 trucks that are used for deliveries.
This Company Sales are focused in the following categories:
– Non-Perishable Meats & Cheeses
– Frozen Foods
– Non-Alcoholic Beverages
– Paper Goods
– Janitorial Supplies
Established 28 years ago this Company has been built at a steady pace due to managements focus on constantly delivering a positive experience to their customer base.
*The company recently moved from a 28,000’ building into its brand new 50,000’ facility. This new location has ample room for storage allowing the company to now meet minimums and buy direct from major vendors vs purchasing from sub-distributors increasing the companies bottom line.
**The Company recently expanded it’s cold non-perishable meats and cheese offerings and increased its frozen food section significantly.
***Deliveries through online ordering and orders from sales agents calling on customers in the field continue to increase every year.
****The business is considered an “Essential” Business.
ALL SALES ARE RECORDED AND ON THE BOOKS. This business grows every year and 2020 will be the biggest year yet!
- Asking Price: $15,000,000
- Cash Flow: $3,384,048
- Gross Revenue: $37,566,318
- EBITDA: N/A
- FF&E: $750,000
- Inventory: $3,100,000
- Inventory Included: N/A
- Established: 1992
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:55,000
- Lot Size:N/A
- Total Number of Employees:32
- Furniture, Fixtures and Equipment:N/A
Lease Expire:0000-00-00 Option:Y Lease Security:116000 Monthly Rent:$ 58,000 Square Footage:55000 Type of Location:Stand Alone Facilities: Brand new 55,000 square foot building located at the entrance to one of the most important and vibrant commercial zones in the Tri-State area. The interior selling floor is completely and newly pallet racked and the frozen food section has been outfitted with all new walk-in refrigeration and frozen food display cases. The building has 7 loading docks and a great parking lot. More than enough storage space inside to buy direct from vendors. The facility is monitored by an advanced security camera system and full alarm. Company owns 5 delivery trucks which are parked on the premises.
Seller will completely train a new owner. Seller is open to continue running the business for a new owner for an extended period of time.
A true leader in its market catering to the ethnic markets on items that no other competitor sells. This company also imports specialty items that they have alone.
Growth will continue into the future with the companies recent strategic move to a new facility, continuing to add product lines, adding more salesman to target underserved markets and continuing to add proprietary imported items.
The company was established in 1992, making the business 30 years old.
The deal won't include inventory valued at $3,100,000*, which ins't included in the suggested price.
The company has 32 employees and resides in a building with disclosed square footage of 55,000 sq ft.
The real estate is leased by the company for $58,000 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons individuals resolve to sell businesses. Nevertheless, the true reason and the one they tell you may be 2 totally different things. As an example, they might state "I have too many other obligations" or "I am retiring". For numerous sellers, these factors are valid. But, for some, these might simply be excuses to try to conceal the reality of changing demographics, increased competition, current reduction in earnings, or a range of other reasons. This is why it is very crucial that you not depend totally on a seller's word, yet rather, make use of the vendor's response along with your general due diligence. This will paint a much more practical picture of the business's present scenario.
Existing Debts and Future Obligations
If the current company is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of operating businesses finance loans so as to cover items such as stock, payroll, accounts payable, so on and so forth. Bear in mind that in some cases this can mean that earnings margins are too thin. Many organisations come under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future commitments to think about. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that must be satisfied or may cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area attract brand-new consumers? Many times, operating businesses have repeat consumers, which create the core of their daily revenues. Particular elements such as brand-new competitors sprouting up around the location, road construction, and also personnel turnover can influence repeat consumers as well as negatively impact future incomes. One important point to consider is the location of the business. Is it in a highly trafficked shopping mall, or is it concealed from the main road? Clearly, the more people that see the business on a regular basis, the greater the possibility to build a returning customer base. A final thought is the general location demographics. Is the business located in a densely inhabited city, or is it situated on the outskirts of town? How might the regional typical household income effect future earnings prospects?