Canadian Cannabis Accessories Company

Annual Revenue: $430,000

Minimum Equity Required: $150,000

SDE: $100,000

Location: Canada

Industry: Wholesale Trade

ID: 1433

Status: New

Description

If you are already established or looking to step into the maturing and growing cannabis supply industry, your expertise in Marketing and Sales direct to consumers and wholesale to businesses can have an immediate impact on the top and bottom line of this established profitable entity.

We see this as a fairly easy tuck-in / addition to the many complementary businesses.

- Can be run with 1.5 FTE. (owner or GM + 1/2 staff)
- Requires nominal space for warehousing of inventory and distribution
- Reasonable online presence and branding
- Strong supply and customer relationships established
- Owners are almost entirely hands off

For the right purchaser, there are valuable balance sheet assets (Shareholder Loans of $900k+ and loss carry-forwards in excess of $1.1M)

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 October 31

2024
Revenues: $367k
Gross Profit: 47%
SDE: $90k

2023
Revenues: $429k
Gross Profit: 59%
SDE: $110k

** 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, with the balance being financed over 6 - 7 years. 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

Can be operated from anywhere. Inventory warehousing / distribution requirements can be nominal.

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

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

Complete NDA for Full Overview
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