Business Summary:
This is a 22 year old business built from scratch by the current owner into a 300,000 dollar plus grossing business. This manufacturing company makes handmade jewelry, artwork, and ornaments. The business has done as much as 500,000 dollars a year in revenues prior to a partnership split. The momentum of the business has been rebuilding over the past 18 months since that split. The novelty of this business is in its model. All production is done by local community workers in their own homes. Kits are ‘sold' with a guarantee of repurchase at a set price. Turnaround time is a few days for work in process. Utilizing local in home work this company keeps its cost of goods sold to less than 25% for production cost. The current owner has spent the better part of her life positioning this company in most of the ‘major gift and retail shows' including the New York International Gift Fair which is a 5 year approval process. Buyers from retail shops around the country know and respect this company for it's quality of product and more importantly the company's customer service after orders are fulfilled. Currently the company has inside phone sales reps taking warm inbound calls and orders as well as outside representatives who market through craft shows, gift shows and retail shows around the country. This company has an underutilized asset in its website that should be the major generator for growth in the future on both retail ordering and wholesale order processing. One of the major assets and customers for the products of the company is the outstanding Whole Foods Markets. With their recent acquisition of Wild Oats, this company is now approved in almost 60% more stores than it was just a few months ago. They have recently been accepted to the ‘Holiday gift show for Whole Foods' as a preferred vendor to showcase for buyers from all over the country. Included as well are several catalogue customers that purchase and resell the company’s products. Opportunities abound for the right new owner. The current owner is only operating the business approximately 10 hours per week while working at another full time job. It is this lack of onsite supervision that has allowed for inventory levels to get to 3 and 4 month levels strapping this company for cash. Come run this to the next level.
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