Listing ID: 80811
Business Overview
This unique Intermountain West company is a retail home medical supply and distribution company serving the Medical Products industry . It carries multiple lines of high-quality pain management, bracing, and rehabilitation products for use by the retail customer/patient. The company was established in 2008, by current ownership, and has grown steadily since its inception.
It partners with Physicians and clinics, who provide 80-90% repeat orders, in providing patients with the highest quality products and the best fits available for the customers’ specific needs. The customer is supported throughout the entire personal fitting and recovery process.
This business has developed a reputation for outstanding availability and customer service. It’s largest customer has been doing business with the company since since 2008. The company provides only the highest quality products and does not compromise. It has also obtained the Medicare contract for specialty products in its region and also enjoys an exclusive distributorship on a line of products.
In 2013, after some years of effort and development, the company obtained the necessary certification and state licenses to both fit and personally bill patients and insurances, for most of the products it provides. Billing and records storage service is managed in-house and provides an enviable competitive advantage. The process is streamlined, highly efficient and is being marketed to other DME providers.
Financial
- Asking Price: N/A
- Cash Flow: $754,383
- Gross Revenue: $2,092,671
- EBITDA: N/A
- FF&E: $35,000
- Inventory: $45,000
- Inventory Included: Yes
- Established: 2008
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:4
- Furniture, Fixtures and Equipment:N/A
Approx.1,700 sq. ft. leased through July 2023, with one three-year option. It is located in a upscale business environment with ample parking. The space contains administrative offices, inventory and equipment room, and patient fitting rooms.
It is important to the seller that new ownership succeeds. The seller will provide necessary training to ensure a successful transition. The seller is open to a negotiated consultation agreement, of requested.
Personal; to be discussed after introduction of parties.
The company has consistently proven it maintains a high degree of honesty and honor, in all practices. It's Medicare, insurance contracts, product lines, and in-house billing service sets it apart from the competition. It is among the oldest and one of the largest companies in its region.
The medical field is known to be virtually recession proof. This company's opportunities and potential for growth include its Medicare Accredited billing systems that are being expanded from in-house, to other DME companies who need these efficient, high-margin services. The company's use of experienced and knowledgeable sales reps allows for expansion into other geographic regions. The Intermountain West's lifestyle amenities are creating an influx of orthopedic doctors moving into the region and the company is successfully targeting and growing that business.
Additional Info
The business was started in 2008, making the business 14 years old.
The deal shall include inventory valued at $45,000, which is included in the suggested price.
The business has 4 FT 2 PT employees and is situated in a building with approx. square footage of N/A sq ft.
The building is leased by the business for $2,012.33 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals decide to sell companies. However, the genuine reason and the one they say to you might be 2 entirely different things. For instance, they might state "I have too many other obligations" or "I am retiring". For numerous sellers, these reasons stand. But also, for some, these may simply be reasons to try to hide the reality of altering demographics, increased competition, current decrease in incomes, or a range of various other factors. This is why it is very essential that you not depend entirely on a vendor's word, yet instead, make use of the vendor's response along with your total due diligence. This will paint a more practical picture of the business's present situation.
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 deal. Many businesses take out loans so as to cover items such as stock, payroll, accounts payable, etc. Keep in mind that sometimes this can imply that profit margins are too thin. Lots of companies come under a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may additionally be future obligations to consider. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing agreements with suppliers that have to be fulfilled or may cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location bring in brand-new customers? Most times, businesses have repeat customers, which form the core of their day-to-day earnings. Certain elements such as brand-new competition growing up around the area, roadway building, and staff turn over can influence repeat clients and also adversely affect future incomes. One essential point to think about is the area of the business. Is it in a highly trafficked shopping center, or is it hidden from the highway? Undoubtedly, the more individuals that see the business regularly, the greater the possibility to develop a returning consumer base. A last idea is the general area demographics. Is the business situated in a largely populated city, or is it situated on the outside border of town? Just how might the neighborhood typical home earnings influence future income potential?
