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High Performance Industrial Tool Distributor


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This long-standing business operation offers new ownership a consistent performance platform. The Company specializes in distribution of carbide and cobalt cutting tools to +/-100 customers, including CNC shops, aerospace/defense parts manufacturers and larger industrial firms. It holds unique relationships with its product vendors which aren't available to the general public. In the world of distribution business where relationships are key and opportunity for onboarding new customers is difficult, this Company excels. Customers serviced are primarily in Orange County, with some throughout LA County. New ownership can literally step into this fully operational distribution powerhouse with its vendor base in place, and customers consistently satisfied & supported by an experienced and energetic technical salesperson, who will stay in place at $75,000/YR salary. Also included in sale is +/- $175,000 at-cost inventory, which generates +/- $245,000 in sales revenues. A fully outfitted F-350 mobile inventory beast-of-a-truck is also included in sale. The best-fit acquirer is a hustler, familiar with industrial sales. Margins are strong and seller can help launch vision for additional growth.



Listed By: Margot Murphy

Background information

Reference:

17819966-MM

Year established:

1962

Reason selling:

Seller has ownership responsibilities in an unrelated business startup

Finance

Sales:

$1,281,450

Profits:

$285,293

Profit type:

Discretionary Earnings

Operations

Employees:

One owner and one full time outside sales and delivery person (owner's son who will remain with new owner for $75,000/YR salary)

Equipment:

2018 Ford Heavy Duty F-350 Diesel “Mobile Inventory Truck”, Front Desk, Cubicle, File Cabinets, Small Refrigerator, Desks, Copier/Scanner, Inventory Storage Shelves, Marketing Materials: Catalogues, Postcards, Branded T-Shirts and Hats.

Inventory:

$175,000 at-cost inventory included in sale, which generates +/- $245,000 in gross revenue.

Premises

Facility:

Located in light industrial park with roll up door bay for secure work truck parking, office, bathroom, and ample warehouse space

Square footage:

1400

Rent and lease terms:

$1,755/MO, month to month lease terms which will be assigned from landlord to new lessee/business buyer

Location:

5142 Bolsa Avenue #107, Huntington Beach, CA 92649

Opportunities

Growth:

Opportunities for growth and expansion include: Development of a robust marketing strategy to further enhance brand recognition, implementing additional product lines, automating inventory tracking, adding an additional delivery vehicle and driver

Market:

The Company's customer base ranges from small CNC shops to large, well known industrial parts manufacturing companies, primarily on Orange County and some throughout LA County.

Price and terms

Price:

$495,000

Down payment:

$495,000

Training:

Owner will transition buyer for four weeks at 25 hours per week included in sale.