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Nine-Location Branded Hardware Retailer Headquartered in Midwest US #64854 Sign NDA ► 2022 Revenue Est. $ 20.0MM 2022 EBITDA Est. $ 1.6MM 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. Jerry Yocum Managing Director Email: jyocum@generational.com Office/Fax: 614-432-8580 Generational Equity, LLC 1900 Polaris Parkway, Suite 450 Columbus, OH 43240 www.Generational.com I www.DealForce.com BUSINESS HIGHLIGHTS The Company is comprised of nine Ace Hardware locations within the region, along with a main office and centralized warehouse. During FYE January 2021, it completed nearly 1.1 million transactions, which was over a 20% increase compared to 2020 at nearly 900,000. Additionally, the average sale increased 6.4% or $1.08 from $16.80 in 2020 to $17.88 in 2021. The Company's revenue segments are divided by 10 major categories: Paint, Tools, Electric, Plumbing, Hardware, Housewares, Lawn and Garden, Outdoor, Office, and Christmas. INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 COMPANY STATS Over 80 years in operation 89 full-time and 175 part- time employees 80% rate of repeat business INVESTMENT APPEAL • Diversified Customer Base - No single customer/account amounted to a material portion of revenue during the historical period. The diversified customer base helps ensure that the Company will not be significantly impacted by the loss of a single account. • Strong Earnings - The Company has experienced strong growth in EBITDA, from $401,000 (2.5% of sales) in 2019 to $1,754,000 (9.2%) in 2021, representing a CAGR of 109.1%. The Company's 2021 EBITDA margin was higher than the industry standard of 7.9%. • Management Will Remain through Transition - Management is willing to remain through the transition period, and would entertain remaining with new management for a longer period of time on a consultancy basis. Additionally, all key employees are expected to remain with new ownership beyond the sale of the Company. GROWTH OPPORTUNITIES • Expand B2B Sales • New Store Locations • Improve Online Sales • Inventory Selection • Team Members Knowledge • Customer Rewards Program Customer Markets Revenue Performance