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The Company was founded in 1988 by its current owner. It all started with one vehicle and one account, and today they have a staff of over 25 people plus an additional 10 to 15 contractors, and a fleet of over 8 company owned vehicles (16-foot refrigerated box truck, and 8 cargo vans). Contractors use their own trucks and trailers (both refrigerated and non-refrigerated) used as needed. Its corporate office is in Los Angeles. The main service territory is Southern CA, occasionally Vegas and other areas. The Company specializes in providing expedited same day courier services to other businesses and residences. The Company’s mission is to serve their customers in a timely, professional manner. The Company’s drivers are all professionally uniformed and are fully trained and certified to comply with government and industry regulations. The company offers a reliable service that can be designed for a daily delivery set schedule or just on-demand need. They have over 40 employees and contractors and vehicles ranging in size from small vans to med size to box trucks of all sizes and capacity as well as tractor trailers. They provide all their services in a confidential and time-sensitive manner. They can provide a route service or design a custom courier service to meet specific business demands. The Company’s customers number in the hundreds and include but not limited to custom furniture manufacturers, water distribution, food and beverage companies, ice cream manufacturers, commercial printers, Advertising firms , Law firms, and many interior design firms, such as construction companies and home design businesses. A small number of labs as well. SERVICES • Courier Services: pickup and delivery anywhere in Southern California. • Cargo & Freight: Offering logistics solutions for businesses, including transportation and distribution of palletized or loose loads tailored to streamline supply chain operations and meet diverse shipping needs efficiently and reliably. • Refrigerated Vans and Box Trucks: Offering safe and timely transportation of temperature-sensitive goods with precision and reliability. • Legal Courier: The Company offers dependable attorney services, including court filings, courtesy copies, and document searches, catering to Southern California firms and individuals. • Same Day Courier: offering fast, reliable courier services with options including Express Same Day delivery and 24/7 availability, prioritizing communication, and flexibility to meet customer’s delivery needs. • Handy Carry Courier: dedicated hand-carry courier delivery services ensuring continuous in-transit monitoring from pickup to delivery, available 24/7 for time-sensitive shipments with seamless scheduling options and instant delivery conformation. • Medical Delivery: Rapid and reliable courier services for medical labs across Southern California, guaranteeing on-time delivery within specified deadlines, even in challenging traffic conditions, with packages typically picked up within an hour and delivered by 5pm. • Messenger Services: providing safe and expedient messenger services, offering a variety of options including same-day delivery, flexible scheduling, and exclusive features like signature capture technology, all backed by a 100% on time guarantee and professional, insured drivers. • Route Services: The Company offers route services for businesses reliant on regular deliveries, ensuring efficient pickup and on-time delivery of materials with flexible scheduling options and 24/7 availability, backed by insured drivers and 100% on-time guarantee, with prompt communication in case of unforeseen delays. HIGHLIGHTS • Ability to move temperature-controlled loads. • Long term, loyal customers and employees • Started by the Company founder in 1988 and has experienced consistent growth and profitability since. • Company has an established management structure that can operate independently of the Company owner. • Guaranteed On-Time Delivery • Real-Time Tracking and Notification • Dedicated Customer Support • Specialized Courier Services • HIPPA and OSHA compliant Opportunities for Growth The Company has the potential for rapid growth by: • Expanding service to refrigerated customer transportation. • Expanding into refrigerated storage. • Expanding with additional hubs in other areas. • Adding dedicated fleet services The seller is selling for personal reasons but will assist during a transitional period. The office staff, all of whom are W2 employees, are available to work with a new owner. The Market (IBISWorld Industry Report) The courier and local delivery services industry has navigated steady growth over the past five years, buoyed by resilient consumer demand, e-commerce expansion, ongoing investment in operational efficiency and digital transformation. Profit has remained robust, with profit as a revenue share rising from 7.9% in 2020 to 8.1% in 2025 as firms prioritized margin optimization, chiefly via automation, high-value services in the business-to-business (B2B) segment and improved route efficiency. From 2020 to 2025, industry revenue rose at a compounded annual growth rate (CAGR) of 4.2%, reaching $191.0 billion, with 2025 posting a growth rate of 2.7%. Profit as a share of revenue will rise from 8.1% in 2025 to 8.2% in 2030 as companies weather market challenges and drive continued innovation. Overall, the sector is projected to maintain forward momentum, with revenue expected to rise at a 3.0% CAGR over the next five years, reaching $221.4 billion by 2030.
Why we like it
- Reported cash flow of $1,245,178 on a 38-year-old services business signals real, seasoned earnings rather than a fragile startup number. The mix of scheduled route contracts and on-demand work provides a recurring base of revenue plus higher-margin rush jobs on top. Revenue is not disclosed, so the actual margin structure needs confirmation, but the longevity supports the durability of the cash line.
- The refrigerated and temperature-controlled capability is a real moat in a category dominated by commodity parcel and gig couriers. Cold-chain medical lab delivery, food and beverage, and ice cream transport require compliance, dedicated equipment, and reliability that gig platforms cannot easily replicate. HIPAA and OSHA compliance plus a 100 percent on-time guarantee create switching friction for regulated customers.
- The B2B courier and local delivery market grew at a 4.2 percent CAGR to $191 billion through 2025 and is projected to reach $221.4 billion by 2030, with margins holding around 8 percent. This business is diversified across furniture, food and beverage, legal, medical, print, and design verticals, so it is not tied to any single fragile demand driver. Same-day and cold-chain are the highest-value, least commoditized segments of that market.
- There is an established management structure that already operates independently of the owner, which is rare in an owner-founded SMB and makes this closer to a semi-passive acquisition. The contractor layer of 10 to 15 drivers using their own trucks keeps fixed costs variable and protects margin when volume dips. A buyer inherits a running operation rather than a job.
How to improve it
- Pull a full revenue and customer concentration report in the first 30 days, then build a formal contract renewal and price-increase program. Many legacy courier operators underprice grandfathered accounts, so a modest across-the-board rate adjustment on route customers can drop straight to the cash flow line.
- Execute the owner's stated growth path into refrigerated storage and dedicated fleet services. Cold storage turns a transactional courier relationship into a recurring warehousing plus distribution contract, raising switching costs and adding a second high-margin revenue stream from the same customer base.
- Add additional hubs in adjacent Southern California and Las Vegas corridors where the company already runs occasional loads. A second dispatch node reduces deadhead miles, improves on-time performance, and lets the business bid on regional accounts it currently cannot serve reliably.
- Systematize sales beyond word of mouth by hiring or assigning a dedicated B2B outreach role targeting hospital systems, labs, and multi-location manufacturers. A 38-year reputation with HIPAA compliance is a strong door-opener that has likely been under-marketed by an owner focused on operations.
- Invest in a modern dispatch and tracking platform if not already in place, then market real-time tracking and signature capture as premium features. Route density and automated dispatch are the primary margin levers in this industry, and small efficiency gains compound across hundreds of daily stops.
- Convert more of the 10 to 15 contractors into structured, exclusive capacity agreements or a graduated W2 path where economics favor it. Reducing dependence on ad hoc contractor availability improves service reliability, which is the core selling point of the on-time guarantee.
Diligence notes
- Demand full financials to reconcile the $1,245,178 cash flow figure against actual revenue, since revenue is not disclosed and the margin structure is unknown. Verify how contractor payments, fuel, insurance, and vehicle maintenance are treated and whether the cash flow number is genuine SDE or an owner-favorable add-back.
- Analyze customer concentration across the hundreds of accounts, because a courier serving furniture makers, printers, and design firms may have a few large route contracts carrying most of the revenue. Confirm contract terms, tenure, and whether relationships are personal to the owner or institutional to the company.
- Scrutinize the contractor model for worker classification risk, especially in California where AB5 and independent contractor rules for drivers are aggressively enforced. A reclassification of 10 to 15 contractors to employees would materially change the cost structure and could create back-tax and penalty exposure.
- Confirm the age, condition, ownership status, and maintenance liabilities of the 8-plus company-owned vehicles, particularly the refrigerated units. Verify whether the fleet is owned free and clear or financed, and budget realistic replacement capex since refrigerated trucks are expensive to repair and replace.
- Validate the claim that management operates independently of the owner by identifying key personnel, their tenure, compensation, and retention risk post-sale. The seller is exiting for personal reasons, so quantify exactly what institutional knowledge and customer relationships walk out the door and secure a transition and non-compete accordingly.
- Verify HIPAA and OSHA compliance claims and current insurance coverage limits, since medical and legal courier work carries liability exposure. Review any history of missed deliveries, damaged cold-chain loads, or claims that could indicate operational or reputational risk not reflected in the headline numbers.
Source
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