Retail - Blding Mat., Hardware, Garden

Asking Price	Not Disclosed	Inventory	$275,000*
Gross Income	$2,409,120	Real Estate	$270,000*
Cash Flow	$106,444	Year Established	1997
FF&E	$400,000*	Employees	5

* included in the asking price

** not included in the asking price

The Company was started in July of 1997 by its current owners. The Company operates as a full service hardware, lumber and building supply retailer. In addition the Company receives lumber from two separate brokers located in Kentucky and Tennessee. Furthermore, Company management indicated they provide delivery of items to their customers throughout the day. The Company s operating hours are 7:30 a.m. to 5:30 p.m. Monday through Friday and 8:00 a.m. to 5:00 p.m. on Saturday.

Facilities: The Company leases their current facility that is owned personally by the Company s owners. The facility consists of two buildings. The first building is an approximate 15,000 square foot retail space and the second building is an approximate 10,000 square foot warehouse. Company management indicated that the Company leases the land on which the facility is located from a third party at a rate of $250.00 a month. Management indicated that there are approximately 78 years left on their current land lease.

Competition: Company management indicated that there is one other hardware store in the area located just down the street from the Company. However, any other competitors are at least an hour away. Management indicated their main competition is much larger and probably has revenues ranging from approximately $10,000,000 to $15,000,000 annually.

Growth/Expansion: Company revenue increased from $2,913,000 in the year ended December 31, 2003, to $3,003,000 in the year ended December 31, 2004, before declining to $2,702,000 in 2005 and $2,409,000 in 2006. Company management indicated that a good portion of this decline is attributable to the Company s lowering of prices to help ease their cash flow problems. Company management indicated that revenue for the current year ended December 31, 2007, is currently trending up and should exceed 2006 revenue.