Business Overview

This opportunity is a full-service wholesale business for sale in Michigan that specializes in the niche distribution of a vast array of transformative (German-made), lifesaving medical devices, products, and equipment. The Company has worked alongside manufacturers throughout the Company’s 25+ year history to design and refine the proprietary medical products the Company distributes, most of which they are the exclusive distributor. These products have a long presence in the market and are immediately associated with the Company by decision makers and buyers.

There is significant value within the outstanding relationships the Company maintains with their large current distribution network. The Company’s customer base could be leveraged to gain access to top-tier, household name retailers and big-box stores for the distribution of other products. This Company stands as an opportunity for the Buyer to gain access to customers, relationships, and distribution partners which may not otherwise be feasible.

The Company possesses an expansive distribution network, which includes the following customers:

• Household name retailers and other big-box stores (Meijer, Walmart, Albertsons, SuperValu, C&S Wholesale Grocers, etc.)
• Major drug distributors and healthcare brands (AmerisourceBergen, McKesson, KeHE, Rite Aid, Kinney Drugs, Cardinal Health, etc.)
• The U.S. Department of Defense and other military affiliations
• Professional, collegiate, and high school athletic organizations (NFL teams, other major universities, etc.)

Over the Company’s 25+ year history ownership has established and maintained relationships with each of the Company’s customers. This has created an immense amount of potential for the new Owner(s) as the Company’s current distribution infrastructure and relationships could be expanded to immediately include additional product and service offerings.

Challenging barriers of entry protect the Company from competition. As previously mentioned, the Company is the sole distributor for the majority of its products. To protect these rights, the Company has obtained an abundance of intellectual property, such as U.S. Trademarks, Department of Defense National Stock Numbers (N.S.N’s), and other exclusive licenses.

There are currently four Owners within the Business, two of which are actively involved while the other two are passive investors. At this time, 100% of the equity in the Company is for sale. One active Owner is willing to remain with the Company (if the new Owner wishes so), while the other active Owner desires to pursue retirement and will require an eventual replacement. The Owner staying with the Business acts as the Controller, while the retiring Owner acts as the Company’s President. A succession plan is in place.

Thank you for reading this overview. The extent of the information that we are publicly permitted to reveal about this opportunity is contained in this overview. Please submit your contact information in the provided form. We have automated the processing of NDAs and sending of information for speed and efficiency. You will be sent a link to our online NDA. IF YOU DO NOT RECEIVE THE NDA LINK, PLEASE CHECK YOUR JUNK MAIL. If the email cannot be found, please email info@caldergr.com and request a PDF version.

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Financial

  • Asking Price: $850,000
  • Cash Flow: N/A
  • Gross Revenue: $1,769,963
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: $358,993
  • Inventory Included: Yes
  • Established: 1995

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:8,000
  • Lot Size:N/A
  • Total Number of Employees:7
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The Company currently operates out of a facility leased from an unrelated third-party. The current lease is on a month-to-month basis, granting new Owner(s) flexibility if they were to wish to transition the Company’s operations to a new headquarters. The Company occupies approximately 8,000 square feet of office and warehouse space.

Is Support & Training Included:

Ownership is willing to provide reasonable and customary assistance during the transition period.

Purpose For Selling:

Majority owner pursuing retirement.

Pros and Cons:

Investment Highlights Include: (1) Tenured Quality Staff and Management Team (2) Attractive Customer Base (3) Expansive Distribution Network (4) Large Gross Margins (5) Sustainable Barriers to Entry against Competition (6) New product launch in Sport Medicine with established distributor network

Opportunities and Growth:

Growth Opportunities Include: (1) Growing the Company’s Sales Team (2) Expanding Product Offerings (3) Improving Website Design and Marketing Efforts

Additional Info

The business was founded in 1995, making the business 27 years old.
The transaction will include inventory valued at $358,993, which is included in the asking price.

The business has 7 employees and is located in a building with disclosed square footage of 8,000 sq ft.
The property is leased by the company for $0.00

Why is the Current Owner Selling The Business?

There are all sorts of reasons individuals decide to sell companies. Nonetheless, the real reason vs the one they say to you may be 2 totally different things. For instance, they may state "I have a lot of various obligations" or "I am retiring". For many sellers, these reasons stand. But also, for some, these might simply be justifications to try to conceal the reality of transforming demographics, increased competitors, recent reduction in earnings, or a range of other reasons. This is why it is really important that you not depend totally on a vendor's word, yet instead, use the seller's solution together with your general due diligence. This will repaint an extra reasonable picture of the business's existing situation.

Existing Debts and Future Obligations

If the existing company is in debt, which lots of companies are, then you will have reason to consider this when valuating/preparing your deal. Lots of operating businesses borrow money in order to cover items such as inventory, payroll, accounts payable, and so on. Keep in mind that sometimes this can suggest that earnings margins are too small. Lots of businesses come 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 take into consideration. There might be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with suppliers that should be met or may result in penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do businesses in the area draw in new consumers? Most times, operating businesses have repeat clients, which form the core of their day-to-day revenues. Certain aspects such as new competitors growing up around the location, roadway construction, and personnel turnover can affect repeat clients and also adversely impact future profits. One important point to take into consideration is the location of the business. Is it in a highly trafficked shopping mall, or is it concealed from the main road? Obviously, the more individuals that see the business regularly, the better the opportunity to build a returning customer base. A final idea is the general area demographics. Is the business placed in a densely populated city, or is it located on the outside border of town? Exactly how might the local average family income effect future income prospects?