Recession Resistant Mail Center With Built In Expansion And Licensing Fee Potential! - SC2253

Business Overview:

This Northern California mail center is a California Limited Liability Company and has been in operation for the last 35 years and under current ownership over the last 5 years. This is not a franchise, but an independent retail shipping store where they have physical mailboxes, business services, live scan, notary, passport photos, and shipping capabilities with FedEx, UPS, DHL and USPS. They are an independently owned and operated packing, shipping, , private mailbox and business services center, and located in a highly affluent fast-growing community. Additional services could be added as well, with significant opportunity to drive sales such as printing, freight shipping, and virtual mailboxes. They have recently launched TSA Fingerprinting Services. This business also has a relationship with a major retail store where they can expand into the retail store locations and this would yield a licensing fee revenue stream to the store. Two such locations already exist in Northern California, one is currently operated by this mail center and the other has been sold and has a licensing fee schedule in place. This retail store is looking to have further expansions of mail centers within their other stores as well. This business has repeat customers, both local business and residents. They have a recurring revenue stream for mailboxes rentals (450 available mail boxes and 75% are rented). Growth can be obtained through increased marketing in the local market and with the addition of incremental business and personal services, like printing, key making, freight, etc. Growth can also be obtained by adding additional mailboxes and expanding more into virtual mailboxes. They currently operate Monday through Friday from 9:00am to 6:00pm, and Saturdays from 10:00am to 4:00pm. They are closed on Sundays. Additional growth can come from increasing operating hours and operating longer hours on weekends. Also, becoming active in the local community and promoting business to business sales can help. A very large growth opportunity is expansion into retail store locations as mentioned previously. This retail store has approximately 120 store locations in Northern California and Nevada. By expanding into these retail store locations, you gain a footprint at a very affordable rate (you will not have to pay for electricity, water, clean bathrooms, etc.) and due to the traffic at this retail location, you have a potential built in customer base frequently going to the retail location. The Seller has successfully opened two locations…and has sold one of them with a licensing fee stream to be obtained.

Property Features and Assets:

This Mail Center operates out of a leased location that is 1,500 square feet. The current rent is $5,058 and monthly CAM charges of $1,800. The current lease is assignable and expires on 12/31/2027.

Market Competition and Expansion:

Since the start of the 2020’s, there’s been a 37% growth in business volume for mailing and shipping businesses. Today, more than 20 billion parcels are shipped around the United States annually, with parcel revenue rising by 29% to a staggering $171 Billion in 2020.

Reason for Selling:

The reason for selling is the Seller is planning on leaving the area. Kindly ask the seller for more information.

Additional Details:

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