Please click on this link to get the Non-Disclosure Agreement (NDA) link is: https://companybroker.com/buyer-profile-jeff.htm If it is blue you should be able to click on it, if not please cut and paste that to a URL line. This will allow me to send you the Full Sales Package containing a Detailed Data Room with Financials, a Comprehensive Video on the Entire Operation, and a Full Interview with the Owner.
HIGHLY RATED MOVING COMPANY
Mostly North Denver along with Lafayette, Boulder, Erie, Firestone, Thornton, Broomfield, Louisville, Longmont, Loveland, and surrounding Areas
The trailing 12 month earnings to June 30 2020 was 233K from revenues of 588K. His 2019 earnings was 203K from 553K in revenues. The business has shown steady 10% or higher growth including in 2020. The business is priced at less than 2.25 times its trailing 12 months earnings at 525K. The earnings would have been higher without Covid 19 but I have no way of accurately adjusting for this. In other words, he believes he would have made 10% more than he shows if Covid 19 had not happened.
The business has many long term workers, has some recurring revenues from storage facilities and previous customers, no advertising or marketing other than a website, and a great reputation with a 4.8 Google rating with 52 reviews. They have a ton of repeat business, a lot of referrals from customers and have a lot of realtors who refer them business. They have also moved families multiple times and their families. They are centrally located just North of Denver Metro. They are hands-on management and receive reviews on invoices. They are respected in their community, family-oriented and have a great website. Their online ratings are very valuable to a new owner who wants to advertise.
Their trucks are well maintained by their own very reliable and inexpensive mobile mechanic. Customer Service is a major priority leaving no stone unturned. If there is something they need, they get it. They will be celebrating 15 years in business in 2021. Their website was started 14 years ago. Customers call all year round. Their strength is in their people. They represent the company professionally.
Covid 19 is starting to result in a lot of people moving which he thinks will continue for a long time. The current strong demand is an opportunity for a new owner to grow the business. Covid 19 has caused a migration into northern Colorado from larger cities including Denver and from climate change areas like California and Arizona. He is certain that there will be as much work as the new owner wants beyond the sale of this business.
This is a great opportunity based on many factors: 4.8 star reputation online which is very high for a moving company, loyal and very skilled employees, very little need for advertising at its current growth rate which can be increased, and a very easy business model to continue to grow which is already growing “organically” at over 10 percent a year(He has no salesforce or advertising). The Buyer can add a salesperson paid mostly by the commission who can call on realtors, new home builders, storage units, apartment managers, etc, “wrap” their trucks in advertising, spend more on SEO, buy/lease an additional truck, expand their territory, charge more, etc.
He works 40-60 hours a week during peak season and 40 hours a week on average overall but doesn’t do any of the physical moving himself. He does most of the bidding, scheduling, hiring/firing, problem-solving, and basic vehicle maintenance. A new owner does not have to be a truck driver or need to do any heavy lifting. The owner didn’t know the moving industry when he bought this and learned it very quickly and has done great. He has been buying real estate from his profits and wants to buy even more real estate with his sons with the proceeds from this sale. He will sign a non-compete.
The sales price is 525K. The main company is an S Corp and this can be either a stock or an asset purchase. He will carry 10% for a qualified buyer. This company has no debt.
The owner estimates that the market value of his 4 trucks is 23K with another 5K in other assets and equipment.
Great Employees: The operation team is comprised of 13 1099 subs with him having the ability to bring on several more if needed. Many of the subs have been with the company for more than 3 years and all are anticipated that they will stay on with the new owner.
This business has several storage facilities that recommend them on a regular basis creating a small amount of recurring revenue. The owner believes that an increase in Marketing and advertising would dramatically increase profitability and allow the company to grow at a rapid pace.
The current lease ended June 30, 2020 and is now month to month for a building and property located North West of Denver. The owner has a great relationship with the landlord and the new owner can have a lease of any length they want or can move the location. It includes 113 square feet of office space and 1200 square feet yard space with a shed. The lease is 950/month plus he pays for trash removal.
The owner will help transition the business for as long as the new buyer needs him for a reasonable salary.
This is a great opportunity to build net worthwhile being paid very well which is why he has no debt and has been able to buy 5 houses over the last 4 years. Thank you for taking a look at this.
Jeff Chapman Eisnaugle
Company Broker Group, LLC
Business Broker Colorado, LLC
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Different Brokerage relationships are available which include Seller agency, buyer agency, or transaction – brokerage.
Brokerage disclosure to Buyer or Tenant of Property. Definition of working relationships.
Seller’s Agent: a seller’s agent works solely on behalf of the seller to promote the interests of the seller with the utmost good faith, loyalty, and fidelity. The agent negotiates on behalf of and ask as an advocate for the seller. The seller’s agent must disclose to potential buyers all adverse material facts actually known by the seller’s agent about the business/property. A separate written listing agreement is required which sets forth the duties and obligations of the broker and the seller.
Buyer’s Agent: a buyer’s agent works solely on behalf of the buyer to promote the interests of the buyer with the utmost good faith, loyalty and fidelity. The agent negotiates on behalf of an accident advocate for the buyer. The buyer’s agent must disclose to all potential sellers all adverse material facts actually known by the buyer’s agent, including the buyer’s financial ability to perform the terms of the transaction. A separate written by a Buyer agreement is required which sets forth the duties and obligations of the broker and the buyer.
Transaction broker: the transaction broker assists the buyer or seller or both throughout a real estate transaction by performing terms of any written or oral agreement, fully informing the parties, presenting all offers and assisting parties with any contracts, including the closing of the transaction, without being an agent or advocate for any of the parties. A transaction-broker must use reasonable skill and care and the performance of any oral or written agreement, and must make the same disclosures as agents about all adverse material facts actually known by the transaction – broker concerning the property or a buyer’s financial ability to perform the terms of a transaction and whether the buyer intends to occupy the property. No written agreement is required.
Company Broker Group, LLC, and Jeff Chapman Eisnaugle will be operating solely as a “Seller Agent” in all transactions.