High End Specialty Foods Importer and Distributor

Location: California, United States
Category: Wholesale and Distribution
Type: Established

Financials

Asking Price: $1,250,000
Cash flow: $360,000
Revenue: Not Disclosed
Gross Income: $4,666,000
Inventory: $500,000 - Included in the Asking Price
FF&E $80,000 - Included in the Asking Price
Real Estate: Not Disclosed

Business Details

This highly attractive high-end specialty perishable foods importer and distributor is the market leader in each of its product categories. The company, which is over 10 year old and employs fewer than 20 persons, has exclusive distribution agreements with over 50% of its vendors and services the who s who of Southern California s retail markets and market chains, gourmet restaurants, and food service businesses (the firm also private labels, and sells to customers who co-pack and private label). The company imports approximately 55% of its products (primarily from Europe), and holds a dominant 30% market share (L.A. County) in one of its customers most significant and critical products. The firm deals with over 100 vendors and offers its customers approximately 350 unique items (sku s) an offering that cannot be matched by any single competitor. That said, the company has chosen to only focus on its 3 general product categories to maintain its service quality and operational simplicity.

Facilities:
The company operates a small fleet of refrigerated cargo vans (2.5 ton) as well as pallet bobtails (15,000 lbs capacity). The business s facility is unbeatable, offering approximately 200 pallet positions (with potential room to grow) and a fantastic overall lease rate of $3,100 for 6,000 square feet. The facility comes with office space, and a refrigerated and frozen food warehouse.

Financing:
Not offered

Support:
Owner will stay on for 3 years; additional training will be offered as necessary.

Competition:
While competition does exist, this firm maintains exclusive contracts on key products, and services the most coveted grocery stores and market chains, restaurants, and food service providers. As such this company s reputation precedes it with its top gourmet product offering and its unmatched base of distinguished and satisfied customers. The company s high volume of sales within its product categories, coupled with its low overhead, naturally also offers it a competitive cost advantage in purchasing and distribution within its limited geography.

Growth:
New owners may seek to capitalize on the firms' dominant market position by 1. expanding in neighboring counties or states, 2. adding additional product categories to sell to its existing client base, 3. allowing smaller quantity orders which will increase access to smaller clients, 4. offering more flexible pricing 5. considering more lenient terms or even carrying financing, or 6. increasing the size of the sales force.

General Information

Reason Selling: Retirement / Alternate Career

Number of Employees: 14
Year Established: 1995