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Lumber and Building Material Supplier/Retailer Located in Midwestern US #64408 Sign NDA ► 2020 Revenue Est. $1,600,000 2020 Cash Flow Est. $162,000 DISCLAIMER: All information contained in this document has been provided by the subject company to Generational Equity and while believed to be correct has not been verified. Accordingly, Generational Equity makes no representations or warranties as to the accuracy and truthfulness of such information. The recipient hereof acknowledges that Generational Equity shall not be liable for any loss or injury suffered by said recipient in any way connected to the delivery by Generational Equity of this document. At all times Generational Equity and its affiliate network members is an agent for the seller and not for the buyer. Generational Equity's fees are paid by the seller. Chris Barnard Senior M&A Advisor Email: cbarnard@generational.com Office: 563-424-5707 Generational Group 3400 N. Central Expressway, Ste. 100 Richardson, TX 75080 Fax: 972-392-8564 BUSINESS HIGHLIGHTS The Company specializes in selling building materials. . The Company is a one-stop-shop for home builders, offering all types of the supplies from lumber to roofing, windows, paint, and hardware. The Company primarily serves construction contractors (67% of 2019 revenue) as well as homeowners (28%) and walk-in customers (5%) mainly in its local market (65% of revenue) as well as beyond (32% within a 50-mile radius and 3% beyond a 50-mile radius). The Company operates out of a 3,000 square foot shareholder-owned facility. INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 COMPANY STATS 17 yrs of operations Superior reputation 4 Full-time employees INVESTMENT APPEAL • Strong Client Relationships - The Company has many longstanding client relationships and a high rate of repeat and referral business. The Company's top four customers in 2019 have all been doing business with VLC since 2004. • Strong Net Working Capital - The Company's current and quick ratios were 8.6 and 2.7, respectively, at December 31, 2019. Ratios above 1.0 generally indicate strength in a company's ability to meet short- term obligations . • COVID-Resistance - Through the first nine months ended September 30, 2020, revenue reached over $1,184,000, with cash flow above 10% of revenues. This solidifies the Company's conservative year-end base year revenue of $1.6 million, and cash flow of $162,000. • Projected Industry Performance - The value of US new residential home construction and renovations, an indicator for home centers and hardware stores, is forecast to grow at an annual compounded rate of 5% between 2020 and 2024. GROWTH OPPORTUNITY Hire Additional Employees Develop Sales/Marketing Geographic Expansion Product Revenue Mix