Due to the fact that the company being sold is an ACTING company, the sale process provides for confidentiality and gradual disclosure of information to potential buyers. We provide the potential buyer with a full range of free advisory services related to the acquisition of these assets. Our provisions and services related to the sale of the company are paid by the seller.
General characteristics of the company being sold
The company for sale has a 15-year history of operation on the market of wholesale of building materials in the Czech Republic (since 2009).
The company’s activity has a regional character – the main sales are carried out in the region of Kralovohradec and Pardubice region.
The company specializes in large wholesale and retail sales of the following types of building materials:
Dry mixes, primers:
- Dry mixes for flooring
- Plasters
- Putty
- Assembly and masonry mixes
- Adhesives for tiles and stone
- Primers
- Bulk materials
- Additives for mortars
- Dyes for concrete mixes (pigments)
Waterproofing
- Universal
- Repair
- Waterproofing tapes
- For foundation
- For bathroom and toilet
Construction of walls and partitions
- Gypsum board
- Profiles, beacons, corners
- Building blocks
- Mortar boards
- Accessories for installation of partitions
- Brick
- Glass blocks
Roofing and guttering
- Metal roofing
- Cellular polycarbonate
- Corrugated sheet
- Gutter
- Soft tile
- Rolled roofing
- Accessories for metal roofing
- Gutter Accessories
- Bitumen based roofing
- All for transparent sheet
- Accessories for soft roofing
Insulation materials
- Heat and noise insulation
- Vapor barrier
- Facing materials, grouts, adhesives
- Facing materials
- Adhesives for cladding
- Accessories for cladding materials
Doors
- Interior doors
- Entrance doors
- Door frames
- Door trim profiles
- Interior partitions
- Mechanisms for sliding partitions
- PVC doors
- Accessories for entrance doors
- Hinged constructions
Sheet materials
- OSB-3
- Plywood
- CHIPBOARD
- FIBERBOARD
Wall and ceiling finish
- PVC panels
- Lumber
- Wall panels
- MDF panels
- Finishing profiles
- Imitation timber
- Block house
Windows and window sills
- PVC windows
- Plastic window sills
- Window accessories
- Mosquito nets
- Wooden windows with double-glazed windows
- Mansard windows
- Glass
- Accessories for window sills
- Wooden window sills
- Wooden windows
And also
- Sockets and switches
- Cable and installation
- Climatic systems
- Electrical panels
- Electrical accessories
Legal form: joint-stock company.
Share capital: CZK 1 million.
Shareholders: Czech natural person – 50%, Czech legal person – 50%.
Region of activity: Kralovohradec and Pardubiceregion.
Number of employees: 19, including 5 top and middle managers.
Company history
Since 2009 the company has specialized in medium and small wholesale trade in building materials. For the last 7 years the company has been one of the medium-sized Czech suppliers in its sector.
The company rents two warehouse complexes, from which it conducts large wholesale sales, and also has a rented store of 350 m2 for small wholesale and retail trade.
The company currently has a significant portfolio of repeat customers.
Location of the main warehouse and office
In an industrial area, at the exit from the city. Excellent accessibility from the autobahn.
Competitive advantages
The company for sale has a fairly prominent position on the regional market of building materials.
General economic characteristics of the company
Average turnover over the last 5 years: approx. CZK 250,000,000.
The company is currently unprofitable and in crisis.
The main reason for the company’s crisis is secondary insolvency. That is, the company is in a state of secondary insolvency when it is unable to pay its debts due to unpaid receivables from debtors (customers).
The loss for 2023 amounted to MSEK 3.5 million. In 2022, a loss of CZK 2.8 million.
The total amount of debts is about CZK 14,000,000,000. These are mainly overdue debts against suppliers.
The company has no debts towards banks and state institutions.
On the other hand, the company has rather large assets in the form of receivables from debtors totaling more than CZK 17 million, as well as assets in the form of goods in stock totaling about CZK 5.2 million.
- Total current assets: approximately CZK 22.2 million
- Total debt: about CZK 15.0 million
More detailed information about the economics of the company being sold, accounting records, legal documents will be provided upon request of the potential buyer.
Transaction format and the company’s operations after the change of ownership
The subject of the sale is 100% of shares in a joint stock company (a.s.).
Price: CZK 15,000,000.
The following options for the sale of the company may be considered:
- From the amount of CZK 15 million received for the sale of the company’s shares, the existing debts of the company will be fully repaid by the current owners and the company will be transferred to the new owners without debts.
- The new owner, buying the company for less than the amount specified in clause 1, will assume a written obligation to repay the company’s debts in the future at the expense of its own investments, internal reserves, as well as in the process of revitalization (recovery) of the company.
The top management and employees of the company are ready to continue their work even after the change of the owner, but for the seller the best option seems to be the change of the company’s management after its acquisition by the new owner. In this case, the current management of the company is ready to assist the new management in integration during the transition period (by separate agreement with the new owner).
The purity of the transaction, the absence of hidden financial and legal obligations is guaranteed by the personal responsibility of the owners, the process of gradual transfer of management in accordance with the agreement, legal mechanisms and regulations provided for in the Czech Republic.
Our services for the recovery, revitalization and restructuring of Czech companies
Revital Business s.r.o. has 20 years of experience in crisis management and specialized measures for the recovery and restructuring of Czech companies that are in a state of incipient or already developed financial and economic crisis of various complexity.
We are the leading specialists in the Czech Republic for urgent stabilization of acute crisis situations in business.
For buyers of Czech companies in which recovery, restructuring or revitalization measures are required, we offer a full range of specialized services that help stabilize the economic situation of the company and eliminate or level out crisis phenomena.
After stabilization of the acute crisis, we already at the second stage implement the plan of gradual recovery of the company and its conclusion in the mode of stable profit making and further strengthening of positions in the market.
Revital Business s.r.o. website: www.revital-business.cz. (The site is in Czech, but it is easy enough to translate into almost any language with the help of modern online translation programs).
In addition to specialized services to overcome the crisis of the company, for foreign buyers of Czech companies we also provide services in document administration, accounting, communication with government institutions, fiscal authorities, banks, business support in the Czech Republic, etc.
Theprice of services of Revital Business s.r.o. – as agreed by the parties.
+420 724 22 22 77