Acquire a highly profitable, established business with over 500 sales locationsThe Business
The Company is Spain’s leading retail office supply chain with a network of more than 500 franchisees. Franchise agreements cover two segments: retail shops at street level, and business Internet, catalog and home delivery sales. The Company has an exclusive agreement with Hewlett-Packard (HP) to install centers in the franchised stores for the sale of HP printing and photocopying services. Estimated sales volume of franchisees is €150 million per year.
The Company has 13 employees including its two owners who are directors. Corporate offices are located in Madrid. The Company does not have warehousing facilities because products are shipped directly from suppliers to franchisees.
The Company has been organized using a decentralized planning model, which uses regional master franchisees that are licensed by the corporate group to undertake the commercial development of the franchises in their respective areas.
Market
The Company has a strong brand with an excellent reputation in the industry. It generates a good cash flow generation and based on no products stocks, reduced personnel costs and diversified franchise network is a relatively low-risk business. The Company has a high EBITDA margin (exceeding 40%), good cash flow generation with no requirements for working capital or CAPEX. It also has substantial bargaining power with suppliers.
The owners would like to sell 100% of the business due to planned retirement.
Sector: RetailSegment: Office SuppliesRegion: EuropeFinancing Size: $5m to $20mContact: Jose Maria Varas
Company: VR Business BrokersTelephone: +34 91 343 0308Email: [email protected]