Business Overview

This Sacramento, California Cannabis Delivery Service has grown quickly due a strong emphasis on pricing and speed of delivery. The focus on both customer service through its robust dispatch center and consistent marketing to its customer base, have resulted in great success since its launch in 2018. Very strong net with low EBITDA multiple. NDA and POF required.


  • Asking Price: $4,499,000
  • Cash Flow: N/A
  • Gross Revenue: $3,800,000
  • FF&E: $50,000
  • Inventory: $75,000
  • Inventory Included: N/A
  • Established: 2018

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:420
  • Lot Size:N/A
  • Total Number of Employees:16
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The delivery service is located in a secure, industrial building with more than enough parking for the 5 vehicles used for delivery. Lease extension can be negotiated. The rent includes a fee for 24/7 security, including a guard. In addition, the owners have a small offsite dispatch office, at $570 per month, which the buyer can choose to keep or not use.

Is Support & Training Included:

Owners are willing to train the buyer for a transition period.

Purpose For Selling:

Owners are changing their career path.

Pros and Cons:

The delivery service is well located off a major freeway, with the ability to reach all contiguous population centers in under two hours. Customers appreciate the reliable and prompt delivery, and low pricing and are loyal due to this high service level.

Opportunities and Growth:

Customer marketing and advertising can be expanded through the use of online and texting services and bill boards.

Additional Info

The business was founded in 2018, making the business 4 years old.
The deal shall not include inventory valued at $75,000*, which ins't included in the asking price.

The company has 16 employees and is located in a building with approx. square footage of 420 sq ft.
The building is leased by the business for $4,444 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons individuals resolve to sell companies. Nonetheless, the true reason vs the one they tell you might be 2 totally different things. As an example, they might state "I have too many various obligations" or "I am retiring". For numerous sellers, these reasons are valid. But also, for some, these may simply be reasons to attempt to conceal the reality of changing demographics, increased competitors, recent decrease in incomes, or an array of various other reasons. This is why it is really vital that you not rely absolutely on a vendor's word, yet instead, use the seller's response along with your general due diligence. This will paint an extra sensible picture of the business's current circumstance.

Existing Debts and Future Obligations

If the current company is in debt, which many businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Many businesses finance loans in order to cover things such as inventory, payroll, accounts payable, so on and so forth. Bear in mind that occasionally this can suggest that revenue margins are too tight. Numerous organisations fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may additionally be future commitments to consider. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with suppliers that should be fulfilled or might cause charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the location draw in brand-new customers? Many times, businesses have repeat consumers, which form the core of their everyday earnings. Specific elements such as new competitors growing up around the area, roadway construction, and also personnel turnover can affect repeat clients as well as negatively impact future profits. One important point to think about is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Certainly, the more individuals that see the business often, the better the opportunity to develop a returning consumer base. A final thought is the general area demographics. Is the business placed in a densely inhabited city, or is it situated on the outside border of town? Exactly how might the neighborhood typical house income impact future earnings prospects?