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Profitable Flooring Contractors Business Equity Stake For Sale in Medellín, Colombia

Medellín flooring firm seeks investment to expand into modular furniture manufacturing with 50% projected profitability.
This Business is on a Premium Plan
Established 1-5 year(s)
Employees 5 - 10
Legal Entity Sole Proprietorship/Sole Trader
Reported Sales USD 51 thousand
Run Rate Sales USD 62 thousand
EBITDA Margin 40 %
Industries Furniture + 1 more
Locations  Medellín
Local Time 3:23 PM America / Bogota
Listed By Business Owner / Director
Status Active
Overall Rating
Partial Stake Sale
USD 247 thousand for 50.0% stake (Native Currency: COP 960,000,000)
Reason: We are seeking investment to expand our business in the high-potential sector of furniture and modul... View More
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Business Overview
Business overview & expansion plan:
- We are currently a flooring sales and installation company operating in Medellín, with 20 recurring business clients across the city, and our products comply with Ministry of Health standards as a 100% aseptic product. The business has commercial and tax registration documents.
- Backed by 20 years of promoter's extensive experience in the sector, we maintain strong relationships with key players in the construction industry, including designers, architects, contractors, distributors, and material suppliers.
- We are now planning to expand into the manufacturing of furniture and modular systems for the construction and remodeling industry. This expansion leverages our industry expertise, market knowledge, and established client base.
Expansion objectives:
- Introduce innovative manufacturing processes and materials with superior resistance, versatility, durability, and wear-resistance, all at competitive pricing.
- Address a clear market gap: Current solutions have prevailed for years due to a lack of alternatives. Our products will offer an innovative, scalable, and high-demand solution for construction and remodeling projects of all sizes.
- Meet growing demand across local and regional markets with rapid expansion.
Production & business model:
- Initial projected installation capacity: 7,800 panels.
- First phase projected production: 1,200 panels.
- Sales model: Cash revenue through direct clients, distributors, advance orders, made-to-order sales, and batch production for large-scale projects.
- Added value services: Custom design, cutting, modulation, and finishing will be offered at additional cost.
- Product pricing varies based on material properties, coatings, and lamination, enabling tiered pricing and improved margins.
Strategic advantage:
- We are in talks with a supplier offering partnership within a free trade zone, enabling inventory management and logistical support for large projects.
Market environment:
- Colombia is undergoing strong economic recovery, with government policies supporting industrial growth and entrepreneurship.
Projections:
- Projected net profitability: 50% during the first year, increasing with the implementation of manufacturing processes.
- Estimated profit for investors: COP 485 million with return on investment (ROI) in 2 years.
Conclusion:
The business presents a high-impact, investor-focused plan based on an innovative product that replaces traditional market offerings. This opportunity is supported by official growth figures, with a current market in Colombia valued at USD 250 million annually.
Proposal: Our goal is to capture 0.5% of the market initially and increase this share to 1% by the third year. Given the strong potential for market expansion and real sales, by entering a sector with consolidated demand and advanced production technology, we offer a scalable and transformative alternative to conventional products throughout the region.
A smart replacement for a high-consumption sector.
This is a booming, high-demand, low-risk market. It allows for large-scale investments based on real data and is structured as an industrial project designed to capitalize on a high-volume market. Our industrial model focuses on improving profitability, optimizing processes, and minimizing environmental impact.
Products & Services Overview
The business currently provides flooring sales and installation services to 20 recurring business clients in Medellín, including warehouses, buildings, clinics, hospitals, enclosures, and interior divisions for large construction projects, and is now expanding into manufacturing innovative furniture and modular systems designed for the construction and remodeling industry.
These next-generation products will be engineered for enhanced durability, versatility, and resistance and will be used by architects, contractors, designers, and developers in residential, commercial, and industrial construction projects.
Offered at competitive prices and customizable with additional services like cutting, modulation, and finishing, the products will cater to a wide range of clients seeking efficient, scalable, and high-performance interior solutions across Colombia’s rapidly growing construction sector.
Assets Overview
The company currently has no significant physical assets, as only minor equipment and tools are in use, and inventory is procured on a per-order basis. The investor will not receive a stake in these existing minor assets, but will hold equity specifically in the new high-tech machinery and related assets acquired as part of the expansion.
Intangible assets include industry connections, 20 years of industry experience, alliances with companies in the sector, market knowledge and clients.
Facilities Overview
Currently, the company operates from a rented warehouse and office in Medellín. For the planned expansion, a facility of approximately 850 m² will be required, comprising 100 m² of office space, 130 m² of storage, 50 m² for a showroom, and 570 m² dedicated to production, packaging, and deliveries.
Capitalization Overview
Self-funded.
No outstanding loans or liabilities.
There is 1 owner in the business.
Recent Activity
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Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct.
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