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Description

OFF-MARKET ‘Q1

Mobile Cutting Board Resurfacing Biz is Profitable

Duarte (Los Angeles County)

Zip Code: 91009

Asking Price: $125,000

Cash Flow: $95,627

Gross Revenue: $146,842

EBITDA: N/A

FF&E: $80,000

Inventory: $5,000

Established: 1995

Employees: 1

Business Description:

This business’s mobile workshop, a converted fifth wheel pulled by a work truck, provides onsite, resurfacing of plastic cutting boards in a manner that exceeds all local State and Federal Health Code regulations. The planning process takes a thin layer of plastic off the top. Afterwards, the technician bevels the edges and rounds the corners to restore cutting boards to “like new” condition for a fraction of the price of new ones.

For sale is the entire California operation that includes machinery, tools, the existing database of customers and inventory (subject to change as a result of normal business operations prior to a sale.) The Company’s Arizona operation will be a separate entity, but an ongoing resource and support system for a Buyer.

Those unfamiliar with the inner workings of professional kitchens might be surprised to learn that the FDA along with local state and county health departments have specific regulations as to the care and cleaning of cutting boards. Cutting board resurfacing not only saves restaurants money, it helps avoid being in violation of heath codes that could not only result in fines, but the loss of public trust and unwanted social media scrutiny.

Extending the functional lifespan of the boards also helps reduce unnecessary plastic waste from entering landfills prematurely.
Custom cutting boards made from commercial-grade HDPE material are also sold; They can usually be measured, cut, and finished on the same day. All products are sold by the square foot, rounded up or down to the nearest ½ square foot.

On the Company’s website, clients can obtain a custom quote. Customer bookings are made by phone or email. Many repeat customers are on a maintenance contract and scheduled for service every six months. New customers are worked into the schedule based on geographical grouping of other appointments and other logistics like traffic and parking.

For all customers, there is a $150 minimum order that includes a $35 trip charge for the mobile unit to drive out. There are two separate pricing tiers. Agreement pricing is reserved for our regularly scheduled customers or those customers who take service, at least, one time in 12 months. For new clients or clients that, for whatever reason have not taken service in the past 12 months, or clients that have abused the cutting boards (e.g. stabbing, razor blade cuts, or melting), “On Call” pricing applies. This means that they pay a higher price for new material and possibly a higher trip charge if it is an emergency. The cost of resurfacing has always remained the same. The new owners could review this and make adjustments, as they see fit.

NDA is required {SUBMIT BELOW} for comprehensive Confidential Information Memorandum (CIM) crafted by ProNova Partners.

Detailed Information

Facilities:

There are no facilities for this business. The truck and trailer are kept at a central storage lot. The cost for storage is less than $4,000 per year. Ideally, the new owner would have a place to safely store the equipment near or at their home or office. Administrative work is done from a home-office and can easily be handled by someone working remotely on a full or part-time basis.

Competition:

No one has managed to successfully duplicate the Company’s machinery, but there is one other re-surfacer in the state that does not take any market share of business.

Growth & Expansion:

The ongoing education and promotion of understanding health code regulations and the Company’s ability to keep facilities easily and inexpensively in compliance should be targeted at new avenues like cultural market chains, Universities, resorts, food truck coalitions, meat and produce packers, commercial kitchens, “cloud” or “ghost” kitchens, culinary schools and nursing homes and hospitals.

Financing:

If the price and deal structure is right.

Support & Training:

The Seller will formally introduce the new buyer to all existing clients by email, phone calls and directly for all current clients. For the first 2 weeks, they will provide direct, hands-on support, training and overall mentorship for the Buyer. We will continue to provide business advice and technical assistance, to the best of our ability, throughout the first 6 months. After that, we will continue to provide mentorship to make for a smooth transition and ensure long-term success. At the discretion of the seller, reasonable consulting fees may be charged on an hourly basis and would be open to negotiation. We want you to grow and thrive as you expand the footprint we have established

Reason for Selling:

Retirement of our VP of Operations, California.

Contact info

Pronova Partners

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