IT company providing complex information system implementations

Basic information

The subject of the sale is a 100% share in an IT company providing a complex implementation of an information system intended for companies from the industry, trade and service sectors. The company has been providing its services since the nineties, when it was founded and started doing business in the field. The reason for the sale is the planned retirement of the owner and the absence of a successor generation that would like to continue the business.

The main activity and mission of the company is the implementation of ERP information systems for customers. The company also specializes in service maintenance of information systems, custom development and further development of systems. In addition to ERP systems, the company implements warehouse WMS systems, planning and management systems. The high level of professionalism of the employees enables the company to develop its own and also customized add-on modules for ERP in the long term.

A diversified portfolio of clients consists of long-term and loyal B2B customers in the Czech Republic and Slovakia, thanks to which the company achieves stable sales despite considerable competition. The number of contracted customers is approximately 80. The company has long-term references from customers in all fields (manufacturing companies and companies providing services). The company has a large share of customers with contracts longer than 10 years – these customers are already ready for the reimplementation of a new generation of ERP with a market potential of at least 25 million CZK.

A stable and professional team of employees is able to provide services at a high professional level. It currently employs 8 employees (7x HPP and 1x self-employed), who are adequately trained, very experienced and loyal. Acquiring new clients and concluding new contracts is ensured by an independent and competent employee. The company’s background consists of a representative headquarters of the company in leased premises. The company has a regional character and its scope is mainly in Moravia and the surrounding regions.

The company generated sales of approximately CZK 12 million between 2021 and 2023, which proves a stable position on the local market. The company’s EBITDA reached approximately CZK 1.2 million and the EBITDA margin was range 9% – 12%. The owner predicts a slightly increasing trend for the year 2024 from the point of view of the main financial indicators, when sales at the level of approximately CZK 13 million and EBITDA of approximately CZK 1.4 million are expected. Sales contractually secured for 2024 are already in the amount of CZK 6,000,000.

The owner is willing to remain available to the new owner after the sale for the time required for the smooth transfer of the company and the know-how associated with company management. Part of the stated price is working capital (the difference between receivables and payables) of approx. 400,000. CZK, and operating cash in the amount of approximately CZK 3.0 million.

Overview of the company’s financial results