EXECUTIVE SUMMARY

 

This Company is one the most experienced and trusted Kayak and Snorkel Tour businesses in Hawaii and has been in business for over 20 years.  The company specializes in small group ocean eco-tour experiences.  Their kayak tours include snorkeling along Hawaii’s ocean fish-filled reefs.  It’s solid base of customers include direct online reservations through the company’s professional website, and from their strong relationships with worldwide reservation agents such as TripAdvisor and Expedia, as well as corporate group convention outings and Hawaii activity booking agents.  They have excellent ratings on all travel web platforms including TripAdvisor, Google Reviews and Yelp with a top SEO result on Google search.    They are fully permitted by both their County and the State of Hawaii.

 

This is a great lifestyle business which provides enough income for the owners to live very well in Hawaii’s paradise.

 

INVESTMENT HIGHLIGHTS

 

• The business is long tenured and well established with major local and online distribution booking entities like TripAdvisor and Expedia.

• Excellent reputation with on island activity sales desks and entities.

• Excellent long history of customer reviews online (Google, TripAdvisor, Yahoo)

• Has strong relationships with the major corporate marketing companies (“DMCs”) who book most of the corporate events activity purchases.

• They have multiple County and State of Hawaii operating permits for different locations.Repeat customers therefore can kayak a different location.

• A big advantage the Company has, because it operates on numerous permitted locations, is that if the weather or surf at a schedule tour location is bad, they can move the tour to another of their permitted locations instead of cancelling the tour.

• Strong recovery from Covid.

• Strong profit margins.

• Customers can book tour reservations on-line on their website, by-passing the commission sales agents.

• Relatively easy to operate.

• Attractively priced.

• Consistently good revenue and profits.2021 SDE of $179,031 on Sales of $345,041.

 

The Business is being offered on a fully turnkey basis including all operating assets and permits, plus a long-term non-compete agreement and training provided by the Seller, due to the pending retirement of the owners.

 

COMPANY

Listing ID: HI Kayak

Location: Hawaii - Island Confidential

Type of Entity:  LLC

Years Established: Over 20 years

Industry or Business Category: Ocean recreation

 

FINANCIAL SUMMARY

     2021, Source: Tax Returns

Revenue: $345,041

SDE: $179,000, 51.9% SDE Margin

 

OFFERING SUMMARY

Asking Price:  $395,000

Inventory included in the Price:  No Inventory of Goods for Sale

Tangible Assets (F, F & E): over $50,000

Non-Compete: 5 years

Training: Two (2) weeks, beginning at Closing.

Sale Reason: Retirement

 

BUSINESS IS:

Home Based and Relocatable

 

LOCATION DETAILS

Business operations are home based

Base yard for equipment storage is Leased

Base yard monthly rent: In 2021 - $700 per month; $8,400 per year; and $3.50 per sq. ft.

Approximately a 10 by 20-foot storage shed (200 sq. ft.) and significant uncovered base yard space for storage of kayaks and trailers.

Base yard lease expiration date: Month to Month

 

CUSTOMERS

Almost exclusively visitors (tourists, conventioneers, etc.) to Hawaii of all genders and ages.

 

EMPLOYEES:  

3 to 5 independent contractor guides, excluding two owners

 

COMPETITION and PROS & CONS OF BUSINESS

• They believe they are one of the largest providers of ocean kayaking on the island and have only modest competition.

• They are fully permitted by both the State of Hawaii and their County.

• Excellent website where customers can book reservations directly, which saves the Company from paying commissions to reservation services.

 

EXPANSION OPPORTUNITIES

They have several growth opportunities including Kayak fishing tours, Stand Up Paddle Board Tours and Kayak rental delivery.  They currently get a number of calls from people wanting to rent Kayaks, but currently do not do so.

 

TRADING DAYS/HOURS

• 365 days per year

• Each tour has its own schedule.

• Phone service hours of 7 am to 6 pm

 

LICENSING REQUIREMENTS

They are required to have, and do have, both State of Hawaii and multiple County permits.

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To obtain our detailed, 60 plus page, Confidential Business Profile, which includes all relevant business information and tax return based financial data, please contact Hawaii Business Sales.