MergerPlace

Successful Canadian Food Distributor

Quebec


  • Asking Price: $32,500,000
  • Gross Income: $18,286,920
  • Cash Flow: $3,871,289
  • Real Estate: Not Disclosed
  • Inventory: $601,174
  • FF&E: Not Disclosed
  • Listing ID: #225829
  • Established: 2013
  • Employees: 48 FT

Business Description

This is a highly successful grocery and healthcare products distributor with primarily Tier 1 retail chain store clients. The business was founded by 2 partners over 20 years ago. It is based in Eastern Canada and ships product / provides coverage to customers who are both Regional and National retailers. Expansion opportunities exist to support a number of these customers completely across Canada. Many use existing company representatives to support in-store product management and customer relationships. Others simply take product into their own Distribution Centres for retail location allocation. The products are generally non-perishable.

The company Vendors are very supportive of the business and depend on it to get their items into the retail channel in a cost-effective, efficient and timely basis, every day. Suppliers count on this company to provide the support needed to ensure proper presentation and representation at the retail level while managing product availability and logistics for the distribution channel.

The business is growing rapidly with consolidated EBITDA margins above 20%

In addition to the listing price for the business, the company has a medium sized building / distribution centre available that will be sold for an additional amount, to the purchaser of the business.


Business Details

Primary Business Category: Wholesale Trade - Nondurable Goods
Location: Quebec

Company Information

Year Established: 2013
Home Based: No
Franchise: No
Relocatable: No
Number of Employees: 48 FT

Financial Information

Asking Price: $32,500,000
Gross Revenue: $18,286,920
Cash Flow: $3,871,289
Inventory: $601,174
Seller Financing Available: No

Property Information

Facilities:

Facilities are available but are not included in the price of the business. A combined office and distribution centre will be sold separately concurrent with the business sale utilizing a listing price supported by a local real estate appraisal. Other regional office premises are leased.

Growth & expansion opportunities:

Exceptional Potential for Growth exists in 3 areas: 1. Taking existing products and vendor lines into wider National distribution. 2. Acquiring new retail chain customers or more locations to carry some or all of the product lines under management. 3. Representing new suppliers and product lines to the retail clients of the business.

Competition:

Vendors generally select a single distributor to represent them for each designated market geography. A small number of food distributors exist in Eastern Canada.

Reason for selling:

The two owners / founders are now ready to retire after assisting with the onboarding / training of a new General Manager as required. They feel a new Purchaser will sustain their energy and vision as the right owner to take the business to the next level and build a national distribution infrastructure to capitalize on significant growth opportunities. Growth will come from primarily new customers, new product lines from additional suppliers and expanding coverage with existing lines and suppliers across the country.

Support & Training:

Will train for 20 weeks @ $0 cost. Qualified purchasers will have access to the full line card of vendors, products and services. No special licensing is required.

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Business Listed By:

Gordon Schofield

Murphy Business Brokers