Multi State Operator - 160+ Locations, 27 Million+ Income

An Exceptional Company at an Exceptional Valuation

Overview:
Exit Hero is excited to offer this fast-growing, multi-state retailer of vape and
smoke-related products. The company is a leading distributor in the smoke
shop industry with 150+ stores across 5 states. All stores are located within a
10-hour drive of their own centralized distribution center.

Dominant regional player with largest number of stores in the area. They have
unmatched purchasing power allowing control of pricing while keeping the
competition at bay.

The Company obtained its leading market position through its pricing strategy,
which consists of offering the lowest possible price. This is made possible
through the Companies direct relationships with numerous manufacturers and
consistent placement of large orders.

The extensive product variety and competitive pricing drive repeat business,
with the average customer making purchases two to three times per week.

Company at a glance:
- Multi-location Retailer of Vape and Smoke-related Products
- Headquarters – Southern U.S.
- Years in Business ~10+
- Number of States with Store Presence – 5+ Number of Stores – 160+
- Employees – 600+

Growth Opportunities:
- Adding Cigarette Sales will add significant profits to the existing customer base. This strategy has been test marketed and is now being implemented throughout the chain.

- The website could be updated to offer online shopping, enabling customers to
order items without the need to visit one of the stores.

- The Company could broaden its reach through the establishment of new
locations in states it already operates, as well as neighboring states.

- The Company has the opportunity to source new locations with the ability to
provide drive thru services.

- The potential buyer could develop a new, comprehensive marketing strategy,
as the Company currently relies solely on opening stores in high-visibility
locations and in-store promotions.

- By positioning itself as a distributor, the Company could supply other smaller
competitors with products from its distribution network.

Investment Highlights:
- Dominant regional player with largest number of stores in the area
- Direct relationships with manufacturers
- Strong financial outlook, with 2023 net income over $27 million
- Large distribution centers strategically located within a 10-hour drive of
all retail locations
- The Company has multiple tangible opportunities for significant growth

Product Offering:
- Nicotine Disposables
- Delta Products
- E-Juice
- Kratom
- Hardware
- Misc. (Glass and Paraphernalia)

Financial Information:
- Revenue - 95+ million
- Gross Profit – 54+ million
- Net Income - $28,598,000 million