SignCo: Live the Lift

 

A Long Established Banff Business is for Sale

Price: $175,000

Normalized Cash Flow: $76,000

Banff Sign Company for Sale

 

signco What they do – the short version . . .

Work with the clients to get the right sign for their needs

  • Design signs for clients if needed
  • Manufacture signs as per client’s specs
  • Install wooden signs as well as vehicle graphics and lettering on site
  • Provide a signs permits application service
  • Be a one stop shop for all our client’s custom and print signage needs

 

Summary

This offering is a profitable signage firm in Banff just outside an easy commute from Calgary. There is limited local competition.

There are three years of financial documents and A full equipment list available to qualified buyers.

This firm owns it’s own well signed building. This may be available for sale or for A five year lease with an renewal clause depending on the needs of the buyer.

Operations

SignCo is a long established all round sign shop. They have A fully equipped digital print department and specialize in custom dimensional carved wooden signs to meet the needs of their commercial clientele.

They work from their own building in a local Banff industrial compound. Their premises are 2200 sq. ft divided into three bays.

There is ample parking and easy access for both customers and suppliers.

This operation is an established firm that has been in business for over 30 years.

SignCo is working on a policy and procedures manual that will greatly aid the transition to new ownership.

Currently, the firm keeps between one and two weeks supplies on hand for both their design and print departments. Wood for custom signs is ordered as needed.

Most supplies arrive within a day of ordering.

Inventory runs between $10,000 to $20,000.

Staffing runs between one and half to two and half employees and a working owner. Digital printing requires a trained operator. Other staff just need basic skills. None of the staff require any special licencing.

The owner estimates that it their yearly staffing needs are running between 5000 to 6000 man hours.

There has been very little staff turn over.

Customer Base

 Being a long established firm also means an established customer base. There is some concentration with their five largest customers accounting for about 40% of their sales.

Further Information

Three years of financial statements and a complete equipment list is available for qualified buyers.

Management Discussion

Q. Why you are selling?

A. I started the business 30 years ago and am ready to retire. I would like to see the business I started go on for another 30 years. In a tourist oriented town, a sign shop is as essential as an electric company or a plumbing company.

Q. In your words, what does the firm do?

A, The business produces high quality custom wooden dimensional signs. This is also a full digital print shop. We supply all the signage needs in our resort community.

Q. What functions does the owner perform? What talents will the new owner have to replace when you leave?

A,  As the owner I run the day to day business of the company, handle sales and manage the custom wooden sign operation. I have staff that run the digital print shop and to do the bookkeeping and administration.

Q. How long will you stay after the sale to help in the transition?

A, I would stay on for 1 month at no salary to train and turn over the company. After that , (if required) I would stay an additional 2 months at my regular salary.

Q. Have the accounts receivable been purged of bad debts? (This will is really a lawyer question).

A, Our bad debt ratio over the last 30 years and been less than 1%.

Q. Will you agree to a non-competition clause?

A, Yes. I would not compete within 250km

Interested . . . ?

1. Fax / scan the non-disclosure document 
2. Phone discussion
3. Release of financial information
4. Meeting with seller and tour of premises
5. Discussions that may lead to a deal

NOTICE

The information on contained in this document has been provided from sources believed to be reliable. You must seek independent verification of these facts through due diligence before taking any action based on this information.

David Page | An Alberta Business Broker

Top