Industry Leading Marijuana Dispensary- Incredible Sales Volume & Fully Compliant (Central California)

Price: $9,550,000

Location: A beautiful and globally recognized beach town in Central California

Industry: Marijuana, Medicinal & Recreational Cannabis,

Listing ID: BAECALIFORNIA


Marijuana Dispensary For Sale

Listing Description

Top Grossing Dispensary in Central California For Sale.

This business is “The Industry Leading” marijuana dispensary among the 11 other licensed medicinal dispensaries in the county. They are the industry leader in terms of annual gross revenue, consecutively year after year. In fact, they are #1 out of the “Big 5”. The Big 5 is a name used by the locals that describes the Top 5 best places to go for medicinal marijuana in their Major Northern California County. Revenue from cannabis has strict reporting guidelines, therefore it is a matter of public record in this California city. When this business is compared to the others in the area, it’s clearly dominating everyone else in the sales department!With annual revenue of almost $10,000,000 and adjusted EBITDA well over $1,000,000 this business is a cash cow! Whats even more impressive about this business’s consistently dominant sales figures?! Is that they have done it with a much smaller showroom (400 sq.ft) than some of their top competitors. The owner is currently doing a full renovation and build out to accommodate for the expected spike in growth from recreational marijuana use that will be fully legal as of January 1,2018. This project will triple the size of the showroom to (1,200 s.ft) and as well as greatly enhance the decor and consumer experience. They have a target date of January 1, 2018 for the grand opening of the newly redesigned and expanded dispensary. It’s all about timing and this business is poised to capitalize on it even more. This retail marijuana dispensary has great books and financial reporting. They are 100% compliant with state & federal regulations and fully licensed. There is not a single shade of “grey area” with this business. Everything is transparent and done correctly. The business has a long stable history of excellent growth & profitability.

The county that this business operates in, has a Very “cannabis friendly” demographic. This marijuana dispensary is definitely in a proven and more mature market (like Denver) as opposed to other states that have caught onto the economic advantages of legalizing good ole’ Mary Jane. The city and county have publicly announced that they will not issue anymore distribution or sales licenses in the area. Which is great for this market leader because it gives them a defensible position in the marketplace. Defensible, predictable, and recurring. You name the best attributes of a small business, this one has it. The barriers to entry are extremely high.
And even if more licenses were to be issued, there is Very little real estate available to open a new shop. The business has shown growth in EBITDA margin year after year as well. It’s customer base keeps growing daily through word of mouth because of their excellent customer service and top-quality product. They have thousands of great reviews and 5 -star ratings on a multitude of websites such as: Google,Yelp, and Weedmaps. The best part about the business is that it is operated with a great management team and dedicated staff. Most of the employees have a multi-year tenure with the shop and the GM has been there since inception.The current owner spends very little time working in the business because he has built such a trustworthy team of employees.

Coming January 1 there will be huge growth with the business as sales are open to anyone who is over 21 years old for recreational “rec” use. Management is forecasting a conservative $2-3million in additional annual revenue, once “rec is in effect”. The shop has built the reputation of having the best cannabis in the industry . With total revenue over $10 million This dispensary has been built big enough to be a great accretive acquisition target for any major public American or Canadian marijuana companies. Or for any high net worth individual or family office that is seeking consistent & durable cash flow of over $1 million+ dollars per annum.

As the legalization of marijuana continues across the country, this is the perfect time to park your money into an fully established and self-sufficient marijuana dispensary business like this one. Very rarely do opportunities to acquire a market leader like this come about. This is an absolute gem in a market that is currently achieving exponential growth.

Listing Details

Total Sales: $9,777,832

Cash Flow: $1,161,020

EBITDA: $-5

FFE: $100,000 (Included in Price)

Inventory: $250,000

Reason For Sale:

Owner wants to pursue other entrepreneurial endeavors.

Training & Support:

Full training and support included for 30 days.

Operation

Year Established: 2003

Days & Hours of Operation: Monday through Sunday 10am-9pm

Owner Hours Per Week: 15-20

Employees: 10

Managers: 2

Location

Lease Option: 3 years

Monthly Rent: 4,900

Type of Location: Retail Store

Square Footage: 3,200

Facilities Information:

Top-ranked award winning marijuana dispensary in the heart of Central California.

Summary

Historical Summary:

The owner/founder started this business as a marijuana delivery service. He bootstrapped the business and tackled every legal/regulatory hurdle that every California cannabis industry entrepreneur faced during the infancy of the industry. Most businesses went under and only the strong survived. Now here the business is almost a decade later thriving more than it ever has. And it’s only  going to get better.

Owner Qualifications:

Any buyer with knowledge of and a passion for the cannabis industry. The ideal buyer would be the current owner of a High Volume indoor cultivation operation in California. This would allow for vertical integration and huge synergy savings by selling all of your product through a marijuana dispensary that moves massive amounts of quantity at retail prices.

Competition:

THIS IS THE PREEMINENT MARIJUANA DISPENSARY IN THE AREA. IT IS OFTEN IMITATED BUT NEVER DUPLICATED.

Financing/Terms:

Seller financing a possibility for the right acquirer.