Production, Wholesale, & Distribution Business with $10M in Cash Flow

This product creation and distribution business is made up of 4 subsidiaries that sell their products to large-scale wholesale businesses (60% of sales) as well as individual shops (40% of sales). Their services include product design and sales of legalized goods including cannabis gummies, micro dose mushroom-based chocolates, nicotine based vape juice, and hemp cartridges, disposables, and gummies. They outsource the majority of the product manufacturing, but have product packagers operating in their substantial 12,000 sq. ft. warehouse. While they are located in California, this does not limit their accessible client base, thanks to their significant online presence, they are able to service clients across the continental US. These brands have diverse SKU’s so they are able to offer any product that a client in this industry would want including cannabis gummies, micro dose mushroom-based chocolates, nicotine based vape juice, and hemp cartridges, disposables, and gummies. The current owners are active in the business and primarily operate as the general manager and team support, they have offered a 2+ year transition period and are willing to roll equity on 20% of the business purchase plus 10% on earn out, which shows extreme faith in the continued success of this enterprise. The sellers are looking for a buyer who has a strong business background in their field of production. This business has shown continual growth and is only expected to continue on this trend. The current owners recently reinvested significant amounts of time and money into expanding operations. Not only will a buyer be able to enjoy the spoils of this recent focus, they will also have multiple opportunities to continue this focus on growth. While there is an expected organic growth as more and more states allow THC and CBD products without needing individuals to possess a dispensary card, new ownership could also continue to expand on the recent addition to the business’s portfolio, delta-8. Delta-8 edibles are currently legal in 35 states and are often one of the only variations that are available to residents/businesses of “non-green states” Priced at $52,000,000 this diverse business endeavor is primed to provide new ownership with exponential success and continued growth opportunities. As the health benefits of hemp and cannabis products continue to be shared, the client base for this business continue to grow, especially for those businesses that offer borderline exclusive access to these products.