Profitable distributor of cosmetics with own brand

Basic information

The subject of sale is a 100% share in the company, focused mainly on the wholesale and distribution of cosmetics and cosmetic accessories. The company has been operating on the market for more than 20 years and has a privileged position on the market as an established and verified supplier of cosmetic goods.

The company’s range is wide and is mainly focused on goods from the field of decorative cosmetics, products focused on the care of the body, face, hands and feet, nail cosmetics.

Wholesale distribution of cosmetic and drugstore goods forms the main part of the company’s activities. In this case, the company’s customers are mainly retail chains of drug and cosmetic focus. These companies have the types of goods listed with the company, which they regularly purchase. The goods that the company supplies are carefully selected from its suppliers, while these manufacturers produce them under the company’s brand. The company has very good relations with suppliers, with manufacturers mainly from South Korea, Taiwan, Italy, Denmark, etc.

A smaller part of the company’s business and turnover consists of the e-shop and retail sales to retail customers. In this case, the customers are smaller customers such as drugstores, beauty salons, nail studios, etc., in many cases it is a long-term cooperation. All these contacts are included in the sale.

The company’s customers and subscribers are acquired mainly through the owner’s contacts, through an online presentation, or through 2 sales representatives. All contacts will of course be transferred to the new owner. The owner is convinced that both wholesale customers and retail customers will not be interested in changing suppliers if the cooperation with the new owner continues as customers were used to.

The company operates from a rented warehouse and office. The price includes a stock of goods worth approx. 10 million CZK in acquisition prices, the value of the stock fluctuates around this value during the year, the company’s business is slightly seasonal.

The owner is currently managing the company full-time, he functions in the role of company director, so after the sale his role will need to be gradually replaced. Within the company, the owner is mainly responsible for managing the company and negotiating with the most important customers. The owner is willing to remain available to the new owner after the sale for the time required for a smooth handover of the company and contacts with suppliers and customers. The reason for the sale is the old age of the owner.

Overview of the company’s financial results