Express Delivery Courier and Warehousing Provider N. CA

The Company is a premier courier, express delivery, and storage/warehousing Provider that serves the medical industry among others.   It was founded in 1994 and today has staff of over 130 people and a fleet of over 100 vehicles (cars, trucks and vans) serving clients from over 9 locations and warehouse hubs. The service territory is from Bakersfield in the south to Sacramento and Oakland in the north and northwest. Some clients located in Los Angeles are also served.

The Company’s customers number in the hundreds and include hospitals, labs, banks, credit unions, title companies, government entities, pharmaceutical companies, logistics companies and a variety of other businesses.

The Company offers same day delivery courier services, storage and warehousing services, fleet replacement services, and next day services.  The Company’s mission is to serve their customers in a timely, professional manner. All of their vehicles are professionally logoed, and the Company’s drivers are all professionally uniformed, wear badges and are fully trained and certified to comply with government and industry regulations (HIPPA, DOT, P.A.C.E. etc.).

The company offers a reliable service that can be designed for a daily delivery schedule or just a one-time need. They have over 130 employees and vehicles ranging in size from small compact cars to 14,000-pound box trucks. They provide all of their services in a confidential and time-sensitive manner. They can provide a route service or design a custom courier service in order to meet specific business demands. Their professional couriers transport important materials down the street or to anywhere in the Western United States.

Company & Market Highlights

• Started by the Company founder in 1994 and has experienced consistent growth and profitability since.
• Company has an established management structure that can operate independently of the Company owner.
• Company has a specialization in the medical sector making it difficult to compete with.
• Company has longevity with its customers, most for over 20 years.
• The company has an integrated service model, where all services are offered under one roof by employees and the resources of the company.

Opportunities for Growth

The Company has the potential for rapid growth with more marketing, and by expanding the number of its hubs. It has already set the foundation for expanding into next day service and pursuing government related business.

The seller is selling for personal reasons but will assist during a transitional period. The Healthcare professional and staff, all of whom are W2 employees, are available to work with a new owner.  

The Market (IBISWorld Industry Report)

Signed, sealed, delivered: Dominant e-commerce sales expected to continue to provide strong demand for industry services.

The Couriers and Local Delivery Services industry comprises two segments: larger couriers and smaller local delivery companies. Together, these segments cater to various consumers, with demand for each segment differing based on the services offered. Specifically, downstream demand for courier services stems from manufacturers and retailers across the country, while demand for local delivery services is derived from households and other local markets. Although the markets for each segment differ, demand for each segment tends to fluctuate in line with consumer spending, the number of businesses and e-commerce sales, all of which have increased over the five years to 2022. The onset of the COVID-19 (coronavirus) pandemic exacerbated the already strong trend away from brick-and-mortar stores and toward e-commerce platforms, increasing demand for delivery services. As a result, industry revenue is expected to expand at an annualized rate of 6.9% to $151.6 billion over the five years to 2022, including an estimated growth rate of 4.6% in 2022 alone. 

Over the past five years, developments in the e-commerce and online retailing space have driven industry growth. Developments made by large online retailers, such as same-day delivery, have increased demand for local couriers and messengers. Though per capita disposable income has fallen in 2022, consumer spending and e-commerce sales have continued to rise, increasing demand for industry services. However, unstable input costs, notably fuel, have limited profit growth, and consequentially profit, measured as earnings before interest or taxes, has only slightly increased from 6.5% of revenue in 2017 to 6.7% in 2022.

The industry is projected to continue to expand over the five years to 2027, albeit at a slower rate compared with the current period. Consumer spending and corporate profit are anticipated to continue to rebound from lows endured during the pandemic, indicating likely revenue growth over the next five years. Additionally, the continued rise of e-commerce and decline of brick-and-mortar stores will likely benefit industry operators. Shipping volumes are expected to increase over the next five years as consumer preferences continue to shift toward the convenience of using a delivery service to receive purchases. Consequently, industry revenue is estimated to increase at an annualized rate of 3.6% to $181.2 billion over the next five years.