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Construction Supplies Wholesale Business for Sale in Bangalore, India

10 years old trusted project distributor in Bangalore Karnataka.
This Business is on a Premium Plan
Established 10-20 year(s)
Employees 10 - 50
Legal Entity Limited Liability Partnership (LLP)
Reported Sales USD 900 thousand - 1 million
Run Rate Sales USD 1 million
EBITDA Margin 10 - 20 %
Industries Construction Supplies Wholesale
Locations  Bangalore
Local Time 1:04 PM Asia / Kolkata
Listed By Business Owner / Director
Status Active
Overall Rating
Full Sale
Asking Price: USD 340 thousand (Native Currency: INR 28,000,000)
Reason: The reason for selling the company is to pursue a new entrepreneurial venture in the e-commerce spac... View More
Includes physical assets worth USD 100 thousand
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Business Overview

Noteworthy clients: key accounts include Brigade, JMC Assets, Sumadhara Builder, and Sriram, showcasing our impressive clientele.

Wide network: collaborating with over 100 interior contractors and builders in Karnataka, expanding our reach and capabilities.

Proven success: completed and delivered over 100 projects, demonstrating a successful track record.

Operational excellence: operating in a professional and organized manner to ensure efficient business operations.

Streamlined processes: Implementation of CRM system for seamless management from inquiry to billing.

Dedicated team: a team of 10 professionals working in-house, supported by over 35 subcontractors for enhanced project execution.

Products & Services Overview

As an authorized distributor for Tata Pravesh and Dormakaba, we specialize in distributing the following products in Karnataka for commercial and residential projects:

Doors: offering a wide range of high-quality doors for various applications.

Glass partition: providing premium glass partition solutions for modern interiors.

Hardware: supplying reliable and durable hardware components for doors and related installations.

In the Indian market, the hinges door segment holds a substantial market size of INR 10,000 crores, indicating significant opportunities for growth and market penetration. Additionally, the hardware segment, valued at INR 2,000 crores, presents a lucrative market for our offerings.

Our partnership with Tata Pravesh and Dormakaba allows us to leverage their renowned brands and exceptional product quality, enabling us to meet the demands of both commercial and residential projects across Karnataka.

Assets Overview

Here is a list of tangible and intangible assets the buyer would acquire:

Tangible assets:

Infrastructure: office space and warehouse located in South Bangalore.

Inventory: stock of doors, glass partitions, and hardware products from Tata Pravesh and Dormakaba.

Equipment: office equipment, furniture, and fixtures.

Cash in bank: quarterly average cash balance of nearly INR 25 lakhs.

Intangible Assets:

Business reputation: Established reputation and strong relationships with major builders such as Brigade, Sumadhara, Sriram Assets, and JMC.

Customer base: existing clientele and a collection of more than INR 1.5 crore.

CRM system: Zoho Cloud-based CRM system for managing quotes, supply, and invoicing.

Organizational setup: well-organized business operations, making it easy for anyone to take over and run the company.

These assets provide a foundation for the buyer to continue operations seamlessly, leverage existing relationships with builders, and benefit from an established customer base and efficient business processes.

Facilities Overview

Our facility in South Bangalore includes a 1,000 sq ft office space and a 100 sq ft warehouse. The office handles administrative and managerial functions, while the warehouse serves as a storage and distribution center for Tata Pravesh and Dormakaba products. Both spaces are co-located, ensuring seamless coordination and efficient logistics. The rented premises enable us to streamline inventory management and order fulfillment. This setup enables us to effectively handle distribution activities, ensuring smooth operations for our valued customers in South Bangalore.

Capitalization Overview

The business is currently funded through a combination of family funds and profits generated by the company. The ownership structure consists of four shareholders with the following percentage ownership: 55%, 15%, 15%, and 15% respectively. These shareholders are the owners of the business.

In terms of outstanding debts and loans, there is a pending loan of INR 70 lakh. The specific details of this loan, including the terms and conditions, would be outlined in the agreement with the lending institution.

Additionally, Tata Steel has provided a comfort letter of INR 2 crore to SBI for channel financing. This letter serves as an assurance from Tata Steel to the bank, indicating their support of your business with the mentioned amount.

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Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct.
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