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SBA Approved Loading Dock & Pallet Rack Systems eCommerce Business – Large Equipment Focus – 28 Years Strong – Steady YOY Performer – $4,450 AOV – High Barriers to Entry

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1Website Closers® presents a 28-year-old eCommerce Brand that has set themselves apart in a high-demand, low-competition niche through their expertise, excellent product line, and outstanding level of customer service. Based within the widely used Material Handling market, the company has successfully served customers of all shapes, sizes, and demographics over the years. From individuals who need a section or two of pallet rack or shelving for their basement or garage, to some of the largest companies in the US, such as Fortune 50 brands, no company is too large or too small for this operation.

The company specializes in pallet rack sales and installation as well as loading dock equipment sales, repair, and installation. They have hundreds of products that fall within these categories, and nearly all of them are sourced within the US. While none of their products are exclusively manufactured for their own house brand, they do have pallet rack uprights and beams that are specifically manufactured for them and their purposes.

Their primarily domestic manufacturers mean that they save money that would otherwise be spent on importing from abroad, and this gives them a much faster shipment time that keeps their customers happy. The high quality of both their products and their services has earned them an Average Order Value of $4,450, as well as the thriving, expanding consumer base that they enjoy today.

The nature of the Material Handling market means that there is a high barrier to entry, which keeps competition low and overall demand high in an already expansive market. The global material handling industry was valued at $213.35 billion in 2021 and is predicted to grow throughout the forecast period at a CAGR of 5.7%. As rapid industrialization spreads throughout the world, and new legislative reforms are introduced to bolster safety and quality standards, the need for reliable material handling products will only rise.

The current owner requires roughly 15 to 20 hours per week to manage regular operations, though they required more hours in their schedule when they were first building and growing the business. They are involved in every component of the sales cycle: from the initial call to fulfillment to the final payment after delivery and installation. While the company typically has one to two part-time employees, they currently have no other staff outside of the owner. They do, however, make use of independent contractors for a majority of their pallet rack installation, loading dock repair and industrial scale repair.

The structure of the company’s inventory system is highly flexible and can be adjusted to suit the needs of the owner. For instance, the current owner, when working in the office locally, typically uses a more stock-heavy model. In times when they’re operating the business remotely, however, they tend to use a drop ship method instead. This inventory model can be tailored and modified once the buyer takes over post-purchase, letting them decide for themselves how and where they want to run the company.

Though the brand is already well-established and has more than a few influential customers in their pocket, they can very quickly be scaled in the hands of an enterprising buyer. Their marketing plan provides the best way of accomplishing this, as at the moment, they do very little in the way of paid advertising. The new owner could invest in PPC in key locations, such as Google and Facebook, to better catch the eye of their target audience. They could also put together targeted outreaches to promising businesses, which would not only gain the attention of the business in question, but establish a sense of rapport with them early on. Developing strong relationships with new customers would be ideal, as most of their repeat customers go on to be longtime customers that stay with the brand for years on end.

While their website received excellent SEO work during initial development, it would benefit from a new design and more modernized technology. Good SEO would improve their organic search rankings further, and a more polished interface would lead to a better and more satisfactory customer experience overall. The buyer could also add some of the more common Pallet Rack products to the site to let customers directly purchase from it, as opposed to having to rely on phone calls or the online catalog for their shopping needs.

This acquisition is a seasoned, highly reputable brand within a profitable niche. Many of their customers have shown themselves to be loyal patrons of their products over the years, and given the size of some of the businesses they work with, that’s quite the achievement.

The company would benefit from an ambitious buyer with good creative, marketing and communication skills, and who knows how to work off the foundation they’re given to build something great. With a smart advertising plan, a new coat of paint, and careful strategizing, they can become an absolute powerhouse in a niche in an arena that they already thrive.

This Company is Represented by:

Tech, Internet & eCommerce Business Brokers

WC 3076

Asking Price
$ 685,000
Cash Flow
$ 189,055
Gross Income
$ 595,700
Year Established

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