Under LOI — Independent Pack & Ship / Mailbox Store (Texas)
I'm newly under LOI to acquire an independent (non-franchise) pack-and-ship and private mailbox business in Texas, authorised FedEx, UPS and DHL outlet, USPS-approved CMRA, long-tenured single owner, small team staying in place. Financing with SBA 7(a). Two things I'd welcome input on. 1. The category. I'd like to connect with anyone who has owned, operated or acquired a pack-and-ship or mailbox store. Whatever you learned that you wish you had known going in, I would far rather hear it now than work it out myself in year one. 2. The lease. The SBA wants a term matching the ten-year loan, and the existing lease is shorter with no renewal options, so an assignment and a long extension have to be negotiated with the landlord before closing. Rent is the single biggest swing factor in this business's cash flow a few thousand dollars a year moves coverage meaningfully, so I want to get this right rather than fast. For anyone who has been through an assignment and extension with a large landlord: did you bring in a tenant rep or lease consultant, or handle it yourself? If you used someone, was the fee worth it, and at what point did you bring them in? Happy to trade rather than just ask. I rebuilt the P&L independently from the filed returns and turned up a couple of add-back and working-capital findings that I think generalize to this category, glad to share the approach with anyone looking at something similar. DM me Abhi, Arlington TX.redacted