Total of 18657 firms and businesses for sale today Thursday 28th March 2024
Time to Sell or Time to Buy !

Business For Sale. Manufacturer Of Nutritional Supplements

LISTING DETAILS
Firms For Sale ID:
28373
Vendor reference:
7816GC
Vendor website:
     
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BUSINESS DETAILS
Location:
Primary sector:
Secondary sector:
Business opportunity:
Asking price:
$399,000
Furniture, fixtures, fittings and stock included.
Turnover / revenue:
$635,647
Net profit / cashflow:
$75,153
Years established:
8
Trading hours:
9AM - 4PM, Monday - Friday
Number of employees:
8

OTHER DETAILS
Reason for selling:
Owner passed away
Support and training:
Employees will provide training
Business is relocatable:
No
Business is web-based:
No
Business is home-based:
No
PROPERTY DETAILS
Lease length:
3
Lease remaining:
2
Lease terms:
industrial gross lease
Rent:
$47,700 per annum
BUSINESS DESCRIPTION
If you are commuting from the Santa Cruz area over the hill to the Silicon Valley every day, then consider owning this Santa Cruz area business and quit commuting!!!

The company is a manufacturer of proprietary food supplements for a specific childhood malady. Products are sold directly from the company website and through distributors. Most customers come from physician referrals or referrals from other customers. Business has an FDA compliant manufacturing facility that is new in 2011. All new tenant improvements in the manufacturing area.

Sales have trended down since the death of the founder four years ago. The capable and experienced staff has been hampered in their marketing efforts due to lack of capital as the estate has few other assets. All employees work part-time and like that. They all want to stay. Most of the employees have special knowledge or training - one is a chemist, one is an herbalist, another is a business systems specialist, one has expertise in marketing, etc. There is considerable tribal knowledge.

A new owner should have marketing and sales skills as well as general business management and leadership abilities. The general manager has a vision for business development but no budget for it. There are logical ways to get the word out to physicians, pharmacists, other health practitioners and parents of children with this malady that could result in significant growth for the business in a relatively short time.

Cost of materials is only 9% of sales, but labor costs per unit are high because of the low production volume. Efficiencies of scale should be realized at higher volumes resulting in lower labor costs per unit.

This business is in a large market and can grow significantly with good management and proper capitalization.

Expansion Potential
The firm can grow to be very large with good management, new product development, better marketing and distribution of other companies' products.

Market / Competition / Non-Competition Agreements
Large, global market with thousands of competitors in the broader market, only a few relatively small competitors for this niche.