Produce Distribution Business

February 06, 2025
by a searcher from Vanderbilt University in Delray Beach, FL, USA
Has anyone had experience in the food distribution or produce wholesale industry? What were your biggest points in due diligence?
February 06, 2025
by a searcher from Vanderbilt University in Delray Beach, FL, USA
Has anyone had experience in the food distribution or produce wholesale industry? What were your biggest points in due diligence?
from University of Southern California in Los Angeles, CA, USA
from The University of Arizona in Gilbert, AZ, USA
Paca is a big deal if you are big enough and lenders don't like it as it can tie up your money.
Outside of that, there is a lot of cash floating around in this industry. Many restaurants will just buy produce with cash which makes DD a tough process. You likely will be under what the seller knows they can make. If seller has prepared for the sale he might have stopped a few years back. Should give you a good idea if you go back far enough what % of cash flows into the business.