For Sale: Coffee Equipment Importer Wholesaler Retailer - San Francisco County

Description About This Posting: Coffee Equipment Importer Wholesaler Retailer

The entire company is comprised of importing, wholesale, retail, proprietary products, retail customers, and a Bay Area office coffee service ('OCS').

The business is engaged in the importation from Europe of highly-sophisticated, 'state-of-the-art,' fully-automated, computerized gourmet beverage bars offering a wide range of product, from simple coffee, to the most complex espresso, cappuccino, latte, chai, and tea, to cold juices. The importation contract is exclusive for most of the United States, and the customers range from other office coffee services to retail customers to bulk wholesale re-sellers, nationwide.
In addition to the equipment, the company packages and retails exclusive, proprietary, private-labeled products coffee, teas, condiments, supplies, etc. that it wholesales as well, nationwide.

The company also operates a complete Office Coffee Service ('OCS') business that provides superior service throughout the San Francisco Bay 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 scores of diversified customers on both a regularly-scheduled and as-needed basis. 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 a highly-respected and successful 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. It employees three full-time employees (including the owner), and a 1/2-time office administrator. For growth and investment purposes, the company can easily be expanded to the OCS market in other metropolitan areas throughout California and the United States, thus employing additional employees, making it attractive to foreign investors for visa purposes.

The company recognizes that it has developed an operational system, a marketing plan, and a product offering that can be scaled very effectively and very profitably, with a nationwide market potential, through aggressive marketing and service activity in key metropolitan areas throughout the country. The company has a draft plan for such expansion for consideration by the new owner.

This business is ideal for the sole proprietor entrepreneur looking for a turn-key, 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.

Gross sales/revenue: ~$800,000/year. Seller's Discretionary Earnings ('SDE'): ~$150,000/year.

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/operational position, even to the extent of allowing the purchaser to operate the business on a mostly absentee basis.

The Transaction: The asking price for the business is $399,000, about 3X seller's estimated SDE. This is for the entire business importing, wholesale, retail, proprietary products, retail customers, and including all related assets and equipment, supply contracts and relationships, customer contracts, database, intellectual property. It does not include cash, accounts payable, or accounts receivable. Inventory of coffee machines, parts, and consumable products are extra at actual cost, typically $40-$60k.

For a serious buyer with a cash 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 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.

Related Links And Information Regarding This Posting

Helpful Resources To Assist In Selling And Buying California Businesses

AJ Rana - Business Broker, San Francisco Bay Area Professionals who understand the importance of world class business brokerage service and the value it can create. Specializing in assisting sellers and buyers with retail stores, restaurants, hospitality & lodging, manufacturing operations, distribution companies, e-commerce and service businesses.

Diane Boudreau-Tschetter: Escrow And Bulk Sale Services - California California Business Escrow, Inc. is a full service independent escrow company serving all of California and has expertise in a wide range of escrows. Our team prides itself on providing an exceptional escrow experience. For more info phone Diane Boudreau-Tschetter at 888-383-3331 or 209-838-1100.

Elizabeth McGovern: Escrow Services - San Francisco Bay Area McGovern Escrow Services, Inc., is a leading independent escrow company. We are a trusted partner with our clients, assisting them through the tangled bulk sale & liquor license transfer process. We provide attentive, quality & innovative customer service. Phone Elizabeth McGovern at 415-735-3645.

Willard Michlin, CPA, Certified Fraud Examiner, Due Diligence Services - California Willard Michlin, CPA #106752, offers buyers step by step training & assistance in doing Due Diligence Services when they are thinking of making an offer, or are in process of investigating a business purchase. He helps to determine the actual net profit even when there is cash. Call 805-428-2063.

Joe Sandbank, Esq: Legal Services For Buyers, Sellers, Brokers - Throughout California I have provided legal counsel to business buyers, sellers and brokers for over 17 years. With prior experience as a business broker and SBA loan officer, Joe brings both a practical and legal approach to all aspects of the business acquisition process. Please phone 916-672-8018 for more info.

Janet Carrera: Escrow & Bulk Sale Services - San Francisco Bay Area Redwood Escrow Services, Inc. is a full service, licensed independent escrow company. We are EAFC Fidelity bonded, fully insured & licensed with the Department of Corporations. Committed to offering our clients the most comprehensive variety of escrow services available. Phone Janet at 510-247-0741.

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