Contact Information

Jim Span, Business Broker
The Chase Group
1902 Wright Place, #200
Carlsbad, CA, 92008

Phone: 760-274-3291
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Very Profitable Food Distribution Business for Sale

Asking Price: $ 349,500
Status: Active
Location: San Diego County (Bonsall)
Down Payment: 80-90%
Total Sales: $ 720,000
Discretionary Earnings: $ 183,000
Listing#: TCG1755442

Business Description:

Twenty-year old independent food, dairy and ice cream distribution route for sale. Owner serves independent markets, mini-marts and other food service operations throughout Southern California.

COVID-19 UPDATE:
This business is deemed ‘essential’ as it is a food distributor. Currently sales are higher than normal owing to strong pull-through demand of consumers stocking up on home goods and food products. The summer season is also typically a strong selling time (think ice cream), so the two factors have combined to make current and future sales at record highs.

The business is a one-man operation, and has no employees (read ‘no headaches’). The truck can be packed for each weekday run such that it’s not required to drive through weigh scales. Owner reports that he has never had a problem with CHP on this topic.

It also may, however, be loaded heavily which would require Class B license and weigh scale compliance, but would allow for much higher daily sales. The vehicle is a manual transmission, so a buyer candidate should be comfortable driving a stick.

Each weekday the owner drives a separate client territory. He starts early (6AM hour), but finishes early, and is usually home (a 45-min drive) by or before 4:30PM. There are no weekend deliveries, and if the owner wishes to take a longer vacation he doubles the prior week delivery volumes so the clients can stretch their inventory while he takes his holiday.

The seller currently purchases from 5 different product vendors, and the business has enjoyed long-term relationships with each. The clientele, however, carry many more food products in their respective markets, and there is much room for product expansion. This is another way to grow sales and profits, by simply selling more into the existing 85 +/- accounts.

This business has no receivables; it is a COD cash business that transacts order-by-order in daily currency. The seller can share daily sales reports, and can also demonstrate a typical daily experience for a pre-qualified candidate in a ride-along meeting.

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