North TX Industrial-Institutional Wholesale Custom Chemical Mfr 20612

Asking Price$7,000,000

Cash Flow

EBITDA$945,225

Gross Revenue$5,088,181

Inventory$500,000
Included in asking price
FF&E$410,000
Included in asking price
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North TX Industrial-Institutional Wholesale Custom Chemical Mfr 20612


Asking Price$7,000,000

Cash Flow

EBITDA$945,225

Gross Revenue$5,088,181

Inventory$500,000
Included in asking price
FF&E$410,000
Included in asking price

Seller Financing Available
Business Description
Company is a 38+ year old well-established manufacturer of wholesale Institutional and Industrial (I&I) liquid and powder cleaning compounds, serving authorized distributors who supply laundry, food service, housekeeping, industrial, oilfield and car washes across the US. Founded in 1988 with three employees in a ~3,400 SF warehouse, Company has grown steadily into a ~23,000 SF production and distribution facility that operates at the effective capacity of a ~40,000+ SF building — thanks to its 25-foot clear height ceilings and strategic off-site raw material storage with key suppliers. A Dallas central location is convenient for major customers who pick up in DFW or require nationwide shipping.
Company generates revenue through 3 complementary channels: 1) proprietary branded product lines sold exclusively through authorized distributors, 2) custom blending and co-packing for national companies who trust the company to manufacture products under their own labels, and 3) a growing word of mouth and tradeshow network for the various markets the company serves. Daily production capacity exceeds ~10k gallons of liquid blends and ~10k pounds of powdered compounds, with powdered batch sizes ranging from ~1k to ~8k pounds and multiple liquid blending tanks ranging from 220 to 1,500 gallons for bulk blending.
Business serves a diversified wholesale mix — estimated at approximately ~30% food service, ~20-25% commercial laundry, ~15-20% car-transport wash, ~15% oilfield (rapidly growing), and ~10% industrial — low dependence on any single sector. Company expanded its product portfolio in 2025 by introducing ~40+ new products, and recently converted a major former competitor's customer base following that competitor's closure, creating a significant revenue tailwind with minimal incremental cost. In fact, two significant I&I chemical competitors exited the market in 2024-2025, and the Company is capturing a meaningful share of their orphaned distributor accounts with minimal incremental cost.
The Company served ~114 active customer accounts in 2025, across Texas and nationally. The customer base is well-diversified with long average tenures — top 10 customers have an avg relationship length exceeding ~13 years, and several have been loyal accounts for ~30+ years. The top 10 customers represent ~68% of 2025 revenue, with largest customer ~14.4% of total sales and ~104 additional customer accounts, further reducing concentration risk. Customer loyalty is reinforced by the Company's proprietary formulations, custom private-label packaging, and the personal service relationships built over DECADES — factors that would be difficult for a new supplier to replicate quickly.
Company utilizes several consulting chemists each specializing in their various fields. The owner focuses on sales relationships and strategic direction, and is committed to a thorough transition. The business has well-defined safe operating procedures, strong QC systems.
Key competitive advantages include: a centrally located Dallas, TX facility offering fast distribution across the US; significant custom blending and co-packing capabilities for clients ranging from 16-oz containers to 330 gallon totes; a proven 38+ years track record of distributor service; and in-house custom label design that ensures regulatory compliance. Business currently operates at or near full capacity on a single shift, with a clear path to add a second shift to significantly expand revenue without a facility change.
NOTE: SELLER PREFERS TO SELL TO PROSPECTIVE PURCHASERS WITH CHEMICAL BLENDING, MANUFACTURING, DISTRIBUTION INDUSTRY HOLDINGS.
Purchase Price: asking price for the assets of the business is NEGOTIABLE. The seller will consider financing up to 10% of the price to a purchaser qualified/approved by the Seller. All financing is to be personally guaranteed. Seller is also open to rollover equity of up to 10% of the selling price. SELLER PREFERS TO SELL FOR ALL CASH.
About the Business
Years in Operation
38
Employees
12 (10 Full-time, 2 Part-time)
Facilities & Assets
The business operates from a ~23,000+/- SF industrial facility — zoned for chemical storage and strategically located for distribution across the continental U.S. The facility features a ~25-foot clear height, allowing maximum pallet stacking and storage density equivalent to a ~40,000+ SF conventional warehouse. The large land parcel includes room for an additional ~12,000 SF building with ~25-foot clear height, providing a clear path for capacity expansion without relocating. Equipment includes liquid blending tanks, powder blenders (~1,000 to ~8,000 lb batch capacity), state-of-the-art fill line (installed 2025 for ~$120,000), forklifts, packaging equipment, and full office infrastructure. The owner will lease to a qualified buyer for $22,000/month +NNN as a long-term lease plus renewal options (or sell in a separate sale, to a buyer who desires to own rather than lease). A recent bank appraisal valued the building and property greater than $4 million.
Market Outlook / Competition
The owner feels that they have few wholesale I&I competitors because the market is much less crowded at the wholesale/distributor-supply level than at retail. The company is one of the last independent wholesale I&I chemical manufacturers standing in their market, actively absorbing orphaned customer accounts from two exited competitors. It's a rare and compelling story for a strategic buyer.
The business uses multiple lead tactics including: 1) Repeat and referral business from existing customers and 2) Trade Shows. The Company is currently operating at or near full capacity on a single shift, creating an immediate growth opportunity through second-shift operations.
Opportunities for Growth
A new, energetic owner can further increase sales and profits in multiple ways: 1) Add a second production shift to approximately double output without additional facility capital, 2) Aggressively pursue growing oilfield market, with multiple orders per month already in progress, 3) Capitalize on competitor closures, 4) Launch into a new multi-location car wash chemical account, 5) Expand South Central US markets industrial opportunities for an estimated $500k-$2.5/year, 6) Add a commissioned outside salesperson to systematically pursue new distributor accounts across Texas, Oklahoma, Arkansas, Louisiana, and New Mexico, 7) Expand custom co-packing/contract manufacturing revenue by marketing private label capabilities to national brands, 8) Construct additional ~12,000 SF production building on existing land parcel to permanently expand throughput capacity, 9) Leverage the Company's ~40+ new products introduced in 2025 to deepen wallet share with existing distributor accounts
Real Estate
Owned or Leased
Leased
Building Sq. Ft.
23,000
Rent
$22,000 per month
Lease Expiration
12/31/2031
About the Sale
Seller Motivation
Retirement
Transition Support
Seller will train buyer for 4 weeks included with the purchase price, and is open to remaining actively involved for up to one year or longer by mutual agreement — including in a sales consulting or formulation advisory capacity. The seller's deep product formulation knowledge, 37 years of distributor relationships, and proprietary product expertise represent significant transferable value, and he is personally committed to a smooth, professional transition. Key employees — including the production manager, office manager, chemist, and experienced production staff averaging 8+ years of tenure — are expected to remain with the business.
Financing Options
Price Negotiable. Seller will finance up to 10% of Selling price to qualified buyer
Listing Info
ID
2529362
Listing Views
17
Attached DocumentsAttachment Disclaimer

01 TX Industrial-Institutional Wholesale Custom Chemical Manufacturer 20612.pdf


Listing ID: 2529362 The information on this listing has been provided by either the seller or a business broker representing the seller. BizQuest has no interest or stake in the sale of this business and has not verified any of the information and assumes no responsibility for its accuracy, veracity, or completeness. See our full Terms of Use. Learn how to avoid scams.


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