Specialty Equipment Distributor and Services Business

Price: $1,000,000

Annual Revenue: $1,665,000

Minimum Equity Required: $400,000

SDE: $385,000

Location: Nova Scotia

Industry: Special Trade Contractors

ID: 1328

Status: Off Market

Description

This 30+ year old niche equipment supplier and specialty service business will be an ideal fit for you if you are passionate about solving problems and truly serving customers. Or, perhaps you've already found a foothold in business and are ready for a roll-up to take advantage of the leverage opportunities that exist.

Situated in a thriving industry that will be around for decades to come, once you become the owner of this well known, well established, highly reputed operation, we're confident you'll find many additional ways to enhance your life beyond just the daily responsibilities and commitments.

- seller's reason for sale is retirement, willing to provide necessary support to ensure a successful transition. Currently working minimal time "in" the business
- much effort has been invested to ensure policies and procedures are in place
- web-site, google rankings, and SEO all updated and in great position
- solid management team in place
- many service contracts in place to support repeat revenues

The owner is selling 100% of the authorized and issued share capital of the company. The offering price considers Working Capital is adjusted at $0, meaning the negotiated working capital amount will be in addition to the offering price. See Financial section for more details.

By completing the NDA and becoming adequately qualified, you will be sent a full Offering Memorandum that will answer most, if not all, of your questions.

Financial Information

Fiscal Year End is December 31. Historical Annual Revenues and Seller's Discretionary Earnings:

2023
Revenue: $1,665,000
SDE: $385,000

2022
Revenue: $1,800,000
SDE: $376,000

2021
Revenue: $1,700,000
SDE: $535,000

2020
Revenue: $1,520,000
SDE: $409,000

Annual Return on Investment
Based upon a purchase price of $1,329,000, with an average portion of the purchase price being financed with normal commercial finance terms, we anticipate an annual Return on Investment of more than 66% ** (Details of these calculations provided upon request).

* Seller's Discretionary Earnings (“SDE”) is a calculation of the total financial benefit that a single full time owner-operator would derive from a business on an annual basis. SDE is the pretax and pre-interest profits, before non-cash expenses, owner's benefits, one time investments, and any non-related income or expenses. SDE may require that expenses be adjusted if a new owner (Purchaser) will necessarily need to take on a new expense. SDE is also referred to as Adjusted Cash Flow, Total Owner's Benefit, Seller's Discretionary Cash Flow, or Recast Earnings.

** Our expectations are for a minimum 35% down payment on the final negotiated purchase price. Feel free to run some of your own calculations here:
https://www.bdc.ca/en/articles-tools/entrepreneur-toolkit/financial-tools/business-loan-calculator

Operations

Operates from a leased location

For more information on this listing, please complete our Non-Disclosure Agreement

For more information on this listing, please complete our Non-Disclosure Agreement

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