Trucking Company
Executive Summary
The business founded over 10 years ago, offers trucking across the US, heavy hauling, and logistics and is located in South Michigan. Over the years, the business has established an outstanding reputation for quality trucking transportation. Contracts with companies such as Home Depot, Firestone, and Owens Corning exemplify the dedication the business has to quality and service. The business is profitable and is still facing growth today. Because the trucking portion of the business faced such great success, a service component to the business was formed and operates from the same location, which attributes to a small portion of revenue (6%). The servicing business contracts with local school districts and other companies, providing 24 hour road service.
The business operates from a 27,000 square foot facility including service bays, a dispatch, a parts shop, a showroom, and offices on the main floor with executive offices on second floor. The servicing business also operates from a full service garage. The business owns over $1.4MM in assets, including 25 flatbeds (48ft. long, equipped with tarps, chains, etc., one of which is a step deck), 4 semi-trucks, and 7 dry vans. The business has a non-expiring contract with Home Depot, its largest customer.
Investment Considerations
The business has over 1,300 clients, contracts, and on-demand services. With such a broad customer base and long-term relationships developed with clients, the business is able to differentiate itself from competitors and maintain its advantage in the market. There is great room for expansion for the business. It is currently undercapitalized and cannot service all the opportunities for work and thus is turning down business. With the proper buyer of the company, greater efficiency could be established and the client-base could be expanded greatly. The business is in a prime location, but can be relocated if necessary. The flexibility and versatility of the business ensures that synergy will be created with potential buyers.
Financial Information
|
Period |
12/31/2010 |
|
Sales Revenue |
$4,960,328 |
|
Recast Net Income |
$585,000 |
Reason for Sale & Transition Plan
Ownership is seeking retirement and thus is pursuing the sale of the business, though is willing to stay on for a 2 year transition period to ensure the continued success of the company.
Price & Terms
The price of the business is $2,200,000.00, which includes the following assets of the business: customer list, existing booked business, office equipment, tractors and trailers (approximate value of $1,400,000), garage equipment, inventory, fixtures, supplies, goodwill and going concern values attached to the company. Those assets not included in the price of the business are the cash, accounts receivable (unless purchased), and accounts payable. .
The real estate is also avaialable.
