Business Overview

This operating outdoor, terraced cannabis farm comes with the land and a beautiful house for the owner operator. Property access through a gated community, providing security and privacy. The property cannot be seen from the nearby road or the gated community. 24.11 acres, with one acre of canopy spread over 3.2 acres of ongoing outdoor cultivation, in 2700 150 gallon grow pots. The pots are meticulously maintained in thirty one levels of terraced rows on two hillsides viewable from the house. The water access to the flume from UPWA is an unlimited amount and is metered at the pump. The pump will sustain about 30 gallons/min and all water feeds into eight 5000 gallon (40,000 gallons total) tanks at the tops of the hills. The flume water is the primary source. During growing season there are 2 full time employees and during harvest, additional contract workers are hired. There is a 5,000 sq. ft. drying facility on site and a beautiful, recently remodeled 2600 sq. ft., 3 bed, 3.5 bath house, with a garage. The property is a perfect combination of a cannabis farm and a luxury residence for the owner. Seller financing is available for a portion of the purchase price, but most of the purchase price must be paid in cash. NDA and POF required.

Financial

  • Asking Price: $2,900,000
  • Cash Flow: N/A
  • Gross Revenue: N/A
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2020

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:Yes
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:2
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

24.11 acres, with power from Pacific Gas and Electric. Well is primarily for the house but has a valve to convert for backup of the farm. Well produces about 15 gallons/min. The water access to the flume from UPWA is an unlimited amount and is metered at the pump. The pump will sustain about 30 gallons/min and all water feeds into 8 5000 gallon (40,000) tanks at the tops of the hills. The flume water is the primary source. 5,000 sq. ft. drying facility with 14 foot walls and four 12 foot roll up doors and two man doors. This building has water and power hooked up with rails and nets for drying and curing. In addition to drying there is a metal C-Van for storage. There is also a beautiful 2600 sq. ft. recently remodeled house w/3 beds 3.5 baths. The garage is about 1000 sq. ft. and is built under one side of the house.

Is Support & Training Included:

Seller is available to assist on a transition of the cultivation operations.

Purpose For Selling:

Seller is exiting the Industry.

Pros and Cons:

Convenient highway access to Sacramento and Stockton markets.

Opportunities and Growth:

Located in the Sierra Foothills, close to Murphys California, a top small town tourist destination, with two-dozen wine tasting rooms, high end restaurants and historic architecture; which presents branding opportunities.

Additional Info

The company was established in 2020, making the business 2 years old.

The company has 2 employees and is situated in a building with estimated square footage of N/A sq ft.

Why is the Current Owner Selling The Business?

There are all types of reasons individuals resolve to sell operating businesses. However, the genuine factor vs the one they say to you may be 2 entirely different things. As an example, they may claim "I have way too many various obligations" or "I am retiring". For numerous sellers, these reasons are valid. But also, for some, these may just be justifications to attempt to hide the reality of changing demographics, increased competition, recent decrease in incomes, or an array of various other reasons. This is why it is very important that you not rely totally on a vendor's word, however rather, use the vendor's response in conjunction with your overall due diligence. This will repaint a much more practical picture of the business's current situation.

Existing Debts and Future Obligations

If the existing company is in debt, which numerous companies are, then you will certainly need to consider this when valuating/preparing your offer. Numerous operating businesses borrow money with the purpose of covering items such as inventory, payroll, accounts payable, and so on. Remember that sometimes this can indicate that earnings margins are too tight. Lots of organisations 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 consider. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that must be satisfied or might cause penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do businesses in the area attract new clients? Many times, businesses have repeat clients, which develop the core of their daily earnings. Certain aspects such as new competitors sprouting up around the location, road construction, as well as staff turn over can impact repeat customers and also adversely impact future profits. One essential point to think about is the area of the business. Is it in a very trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more people that see the business often, the higher the possibility to construct a returning customer base. A last thought is the general location demographics. Is the business situated in a largely populated city, or is it located on the edge of town? How might the neighborhood average house income impact future income prospects?