Durable Medical Equipment (DME) Distribution
Well Located, Diverse Customer Base, No Direct Competitors!
This DME business is located near the Texas Medical Center providing complex manual and power wheelchairs for adults and children, respiratory equipment and supplies as well as routinely used home medical equipment and rental products. New business to business relationships distinguish this company from competitors. The business is JCAHO accredited.
The business is unique in that it has no direct competitor providing a similar breadth of services, and it is very large for a single location DME. Rental revenue is approximately $40K per month, with rental units increasing from 250 pcs in 2009 to over 400 pcs in 2011 and remains at that level. The revenue comes for multiple sources including retail store sales, rentals, Web sales, Insurance and B-to-B income. Workflow software is Brightree, a web based software solution.
Many medical equipment companies have fallen victim to narrowly focused business models. However, interested parties will be pleased to find that this company sells an outstanding array of products to a broadly diverse customer base. An added bonus is the company's superior location and established retail clientele. Opportunities for the successful new owner are plentiful. Financials for 2013 show over $320,500 in owner benefit.
Medicare represents less than 10% of revenue. Acquisition includes contracts with over 20 third party payers. Contracts include Medicare, Medicaid, United Healthcare, Texas Healthspring, Evercare, BCBS, USFHP, TriCare, Amerigroup, DARS, Molina, Bravo, and many more. Facility is a 4,800 SF that includes retail, large warehouse, and repair areas. Lease is due for renewal in July, 2014. Landlord is willing to renew multi-year lease. Current total rent is $7,025 per month. Reason for sale is lifestyle change to focus on other business interests.