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Opportunities

Barcode Solutions and Integration: 50% Collateralized

Over $400,000 in Assets and Extremely Diverse Client Base Included in Purchase!

CASH FLOW
$368,815

Specifications

  • Price
    $815,000

  • Revenue
    $2,424,353

  • Cash Flow
    $368,815

  • Equipment
    $52,000

  • Inventory
    $103,000

  • Account Receivable
    $268,528

  • Location
    Corporate office in Orange County, California; Sales office in Georgia

  • Service Area
    Nationwide, with some international customers

  • Reason for Sale
    Strategic exit planning

With over $420,000 in assets included in purchase, this barcode solutions and integration business opportunity is over 50% collateralized. In addition to the hard assets offered with the business, this company has over 1,800 active customers in their client base made up of 55% resellers and 45% end-users! With services including barcode system integration, equipment maintenance, fulfillment, troubleshooting, and solutions, this business is able to operate nationwide and has some international customers as well. The bulk of their sales (65%) consists of media/consumables (labels, thermal transfer ribbons, thermal tags, warehouse signs); they also sell software (asset tracking, barcode label printing, inventory control/WMS software), and hardware (barcode scanners, label printers, receipt printers, etc.). The current staff is made up of 5 employees including 1 office and marketing manager, 1 east coast manager (based in Georgia), 1 part-time employee, 1 1099 sales representative (based in Chicago), and one owner who handles general oversite and some accounting and order processing. This owner has offered a training/ transition period of 3-5 years and their salary for this time period has been accounted for in the cash flow analysis.

 

The company currently places their orders with nearly 240 vendors and keeps approximately $103K worth of inventory on hand at any given time. They pack and ship customer-specific orders daily and distribute the shipments locally as well as nationwide using United Parcel Service and LTL freight companies. This small but efficient team produced nearly $2M in sales in 2020 and is on track to make $2.4M in 2022. A new owner has the opportunity to expand into new industries or continue to run this successful business as-is.

 

Priced at $815,000, a new owner is expected to see a 233% return on investment in the first year after debt payments based on the 2022 annualized cash flow and the loan needed for this purchase will be over 50% collateralized. Growth is unlimited, as there are untapped markets across the country. Small businesses all the way up to large retail chains need these services to keep up with ever-evolving technology while maintaining profitability and keeping costs low.

Purchase Price:

$815,000

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Bank Loan Needed: $

Years
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Funding Details

Business:

Offer Price: $

% Buyer Cash Down at Closing: $

% Seller Carry Back via Promissory Note: $

year term at a rate of %

% of Purchase Price secured by Buyer and Seller

Total Bank Loan Need: $

% of Purchase Price

Desired Loan Type:

Desired Bank Terms: year term at a rate of %

Total Business Assets, Inventory, and A/R: $

Total Undercollateralized Loan: $

Loan Payments

Monthly Payment to Bank: $
Yearly Payment to Bank: $
Monthly Payment to Seller: $
Yearly Payment to Seller: $
Total Monthly Debt Service: $
Total Yearly Debt Service: $

Conclusions

Fixed Charge Coverage Ratio

The bank will require a minimum ratio of 1.5 to be lendable.

Cash Flow:
2020 & 2022 Average Cash Flow 		$
Annual Debt Service: $
RATIO:

Buyer's Net Operating Income (NOI)

The amount of money the Buyer will retain as profit.

Cash Flow:
2020 & 2022 Average Cash Flow 		$
Annual Debt Service: -$
NOI:

Buyer's Return on Investment (ROI)

The rate of return on the Buyer's down payment.

Down Payment: $
NOI:
ROI: %

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210 N 78th St. 2nd Floor
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The Firm makes no warranties or representation in consideration to the information provided above. All communication regarding this business must occur directly with The Firm Advisors, LLC. The Firm is not a real estate brokerage and does not sell real estate. The Firm solely advises on exit strategy.