Details - Information last confirmed on June 9, 2021
Property: Included in the sale
Inventory: Estimated at $6+M and is included in the sale
Equipment: Well-maintained and will convey with the sale
Tree Varieties Sold: 27+
1st QTR 2021 Revenue: Up 24% over 1st QTR 2020
This $2M tree farm is located on 100+ acres of land and has been selling trees at wholesale prices to commercial clients, tree brokers, developers, general contractors, and some retail garden centers for more than 31 years. The company’s high margins are due to its low overhead, operational efficiencies and the owners fully implemented system of planting, growing, and selling trees. Each tree begins as a 6” seedling that is planted in a 3-gallon above ground container. Throughout its normal growth cycle, the seedling is transplanted into 15, then 30, or 45 or 65-gallon containers. The containers are lined up in rows by species on the property and are watered and fertilized by a fully automated drip and fertilization system. The system mixes the perfect amount of liquid fertilizer with well water, ensuring that each tree sold reaches its maximum growth potential and sale price. All watering/fertilizing is controlled by computerized clocks that precisely monitor output to the tress, virtually eliminating crop damage.
Levels of inventory for each species of tree are based upon customer trends. Most trees need between 1.5 and 2 years to reach the maturity level that is in the highest demand. However, some of the stock is held back so it can continue to grow to accommodate customers that want to purchase more mature trees. Customers typically make their own arrangements to pick up the trees at the farm as the company does not provide delivery services, however the company can assist with delivery arrangements if necessary. The business is licensed to ship products throughout the entire Southeast including Texas and Louisiana. Inventory is counted manually and is then posted on the company’s website by species, size, and cost.
Employees are loyal and have been with the company many years.
Facilities: The property is currently owned by the sellers. The property is included in the sale of the business since it is necessary to run the business.
Competition: Market continues to expand as the demand for trees grows throughout the southeast. Competition exists in the market. However, it is not uncommon for the competition to call upon this company to fill orders when they run short on stock.
Growth & Expansion: Growth strategies have been identified by the owners and will be discussed in detail with the buyers of this business.
Support & Training: The owners are willing to assist in a smooth transition to ensure the continued success of the business.
Reason for Selling: Owners wish to retire.
Disclaimer: DealStream has not independently verified any of the information in this listing and makes no warranty as to its accuracy or completeness. This listing does not constitute an offer to sell, solicit or make an offer to buy an investment interest. Offers to sell, or the solicitation of offers to buy, any security can only be made through official offering documents, such as a subscription agreement and private placement memorandum.