For Sale: Coffee Beverage Service - Established Clients - Alameda County

Description About This Posting: Coffee Beverage Service - Established Clients

This business is a Bay Area office coffee service ('OCS') with proprietary products & exclusive distribution rights for sophisticated digital brewing equipment, serving over 100 established corporate clients. It's profitable and growing, with $780,000 in annual sales (revenue) and SDE of approximately $245,000. Products offered are coffee, espresso, cappuccino, latte, chai, tea, plus cold juices & more...

This is not a 'vending route.'

The company serves well over 100 accounts mostly within the immediate San Francisco Bay metro area. Current and potential customers include business and professional offices, residential living facilities, retirement centers, restaurants, concessions, catering events, medical facilities, day spas and salons, waiting rooms and reception areas, vending outlets, convenience stores, and more. Convenient rental and leasing programs are in place to facilitate equipment sales, recurring monthly revenue, and enhanced profits.

The company delivers ingredients and service products to its many diversified customers on both a regularly-scheduled and as-needed basis by UPS and FedEx, and, occasionally, by personal delivery. Products include premium coffee beans, whole (shelf-stable) milk and powdered milk, tea, chai, flavorings, plus juices, and cups, stirrers and other disposables. The imported digitally-controlled stainless steel brewing equipment produces top-of-the-line, state-of-the-art, barista-quality coffees, espressos, cappuccinos, lattes, mochas, teas, chai, etc.

This is not a 'route business.' The company has found that delivery via UPS and FedEx is far more efficient and cost-effective. Products include the typical generic ingredients and their own privately-branded specialty items.

This business opportunity offers an established and transferable relationship with the U.S. distributor of a highly-respected and successful European equipment manufacturer, a diverse and extensive long-term customer base, solid repeat sales, an excellent reputation and service record, and sizeable gross and net profits.

The business currently operates from an office-warehouse facility in the East Bay. The OCS division for sale employs two full-time employees, plus the owner working 1/2-time and a 1/2-time office administrator.

This business is ideal for the sole proprietor entrepreneur looking for a turn-key, owner-operated or semi-absentee-owned venture. It is also a perfect match for the existing company in this market sector interested in a roll-up acquisition, taking advantage of the economies of scale for even better performance than experienced by the business to date.

The Transaction: The asking price for the business is $499,000, about 2X seller's estimated SDE and about 2/3 of annual gross revenue. This is for the entire Bay Area OCS business division, including equipment placed with retail OCS customers, the retail customer relationships, the OCS employees, exclusive rights to retail sales of the imported equipment in the Bay Area, the local phone number, local website presence, local business name. Cost of the inventory on hand and the fair market value of equipment leased or loaned to customers in the field is additional and negotiable.

It does not include the wholesale, importing, distribution business, nor the retail equipment business outside the Bay Area.

The current owner (& founder) will be very open to negotiating an extensive period for training and transition. Furthermore, he would be open to staying on long-term in a management or consulting position.

For a serious buyer with a cash (non-third-party-financed) offer, the seller will be open to reasonable negotiation of the asking price in return for an expedited transaction and/or a long-term employment/consulting relationship. Some seller-financing may be available to a qualified buyer with sufficient collateral.

Note: All data on this business are provided by the Seller for information purposes only, and no representations are made by the Broker as to accuracy. The Broker has made no independent verification of the data contained herein. The Broker represents the Seller and does not represent the Buyer. The Buyer is advised to perform independent due diligence and seek the advice of professionals prior to purchasing the Business.

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Helpful Resources To Assist In Selling And Buying California Businesses

Peter Siegel MBA, BizBen Founder, ProBuy, ProSell, ProIntermediary Programs Founder Of BizBen.com (since 1994). I am the Lead Advisor for the ProSell, ProBuy, & ProIntermediary Programs. I consult daily with buyers, sellers, and brokers daily about buying and selling California small to mid-sized businesses. Call 925-785-3118.

Peter Siegel, MBA: Business Purchase Financing Solutions Niche business purchase financing advisory and loan placement services with SBA and Non-SBA Financing, Retirement Fund Rollover Solutions, Combo Financing Packages. To get professionally pre-qualified or more information on the ProBuy/ProSell Programs: 925-785-3118.

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