Understand the working capital the business needs to run
Inventory and receivables tie up real cash between purchase and collection; establish the requirement and whether it's included. Working capital is often the biggest swing in the price.
Similar businesses sell at 1.4x to 5.9x SDE. Compare live listings and connect with sellers.
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This Company is primarily engaged in the commercial distribution of prepared firewood.
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Wholesale Greenhouse business centrally located in close proximity to major markets in the Midwest is offered for $350,000 along with 24.6 acres of land and buildings (asking $2.6M - listed through a licensed real estate broker). Revenue has ranged from $2M to $2.2M annually over the last few years. This Wholesale Greenhouse business has operated for decades and specializes in high-quality, hard-to-grow items. The enterprise ships millions of perennials, herbs, grasses and wildflowers to garden centers, landscapers, mail-order firms, botanic gardens, parks and zoos throughout the U.S. and Canada. This $2.95M business & real estate listing includes quality machinery and equipment. The real estate includes a climate-controlled propagation facility constructed for approximately $1M. Sizeable workforce (30+) possesses quality skills/experience and outstanding work ethic. The owners are ready to retire and turn this award-winning enterprise over to a buyer ready to take it to a higher level. They are willing to stay on as long as the buyer wishes to facilitate a smooth transition. Contact Tom Freimuth, Business Broker, Results Business Advisors, [email protected], 402-212-6979, for complete details or to arrange a private tour with the seller.
National transaction benchmarks for wholesale and distribution business businesses.
Under $500K
$500K to $2M
Over $2M
A variety of factors can cause businesses to trade outside this range, including earnings quality, operational transferability, key-person risk, growth trajectory, and geography, so a listing priced above or below the typical multiple usually reflects real differences in the underlying business.
Cofounder & CEO
Key diligence, valuation, financing, and transition considerations for buyers evaluating wholesale and distribution business acquisitions.
Inventory and receivables tie up real cash between purchase and collection; establish the requirement and whether it's included. Working capital is often the biggest swing in the price.
Dead, obsolete, and slow-moving stock inflates the balance sheet; get an aged analysis and value it realistically.
A key manufacturer or a few large accounts can carry the business and walk; if a senior rep with a big attached book leaves at close, you lose it. Review terms and exclusivity.
Distribution rights, territories, and pricing tiers are often the real asset and may not pass to a new owner.
Distribution margins are thin and exposed at both ends; understand gross margin by line and how much room exists when costs move.
Facilities, fleet (new trucks run $80K–$150K each), and inventory systems drive the operation; tour the warehouse and budget deferred items.
Answers to common buyer questions for this market.