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Profitable Durable Medical Equipment DME Distributor for Sale
NCListing DetailsStatus: Sold
Listing Broker: Jeff Snell, M&AMI, CBI, ABI
Listing Price: $285,000
Cash Flow: $80,746
Inventory: $175,000
Inventory Included: No
FF&E: $95,097
FF&E Included: No
Real Estate Included: No
Sales Structure: Asset Sale
Seller Financing: No
Financing/Terms:
Sellers will provide an appropriate component of financing to qualified buyer. Seller will consider the inclusion of part or all of A/R added to asking price. Buyer should expect lender to require ~$225,000 down payment towards business and real-estate and to receive ~$50,000 in operating capital from closing. Inventory listed is estimated as of day of closing and is not included in asking price.
Reason for Sale:
Interested in other opportunities.
Training:
Sellers will provide adequate transition support.
OperationsYear Established: 2000
Last Acquired: 2006
Form of Ownership: S Corp
Summary
Business Description:
This unique Durable Medical Equipment company serves a variety of consumers (pediatrics, adult and seniors) and provides a wide range of equipment. No customer segment accounts for more than 25% of revenue. Unlike other DME companies, this provider offers standard ‘off-the-shelf’ and complex customized equipment tailored to fit individual needs. As a full service mobility provider, the company is accredited by ACHC and has licensed ATP's. The current owners have built an outstanding reputation for customer service, quality and unmatched attention to detail.
Historical Summary:
Five years ago the present owners acquired the company and expanded its presence to include rehab hospitals, veteran’s administration, assisted living facilities, corporate accounts and internet. The product line was expanded from scooters and powerchairs to include ramps, scooter carriers (lifts), porch lifts, stair lifts, bath lifts and variety of mobility accessories. The current owners have invested significantly in upgrading the infrastructure with new software, computers, website and delivery vehicles. Company operations are conducted from a 7650 square foot custom built facility, with easy access to major highways.
Owner Qualifications:
A buyer does not need to have technical knowledge of mobility equipment but would benefit from learning Medicare billing and coding. The company is staffed with very competent management staff that can address day to day issues.
Competition:
This is a niche business, with few other competitors operating with a similar go to market strategy in this space. Internet mobility dealers do not provide after sale service or product support – this is one reason customers prefer brick and mortar providers. Other DME dealers are limited to carrying just wheeled mobility equipment (wheelchairs, scooters, power chairs). This business offers accessories such as custom ramps, stair lifts, porch lifts and vehicle lifts to transport scooters or power chairs. In addition, other DME providers limit their expertise to children or seniors, this business serves the entire population.
Potential Growth:
There are three significant sources of growth; baby boomers, internet advertising and Veterans.
LocationSquare Footage: 7650
Facilities:

Flex office/warehouse business park with two loading docks at ground and trailer bed levels.


Last Updated: Mar 11, 2015 / 12:50 PM
Financial Information Current as of: May 23, 2011 / 12:00 AM