A lot of people assume UPS Stores are boring little businesses.
But this one is listed for nearly $1 million.
The business generates roughly $925K in revenue and about $300K in seller earnings.
Using standard SBA financing assumptions, the projected cash flow after debt payments comes out to approximately $162K per year.
That is respectable cash flow for a business of this size.
Unlike independent shipping stores, UPS Store owners benefit from an established national brand.
Customers already know what the business does before they walk through the door.
That brand recognition lowers marketing risk and gives buyers access to proven operating systems.
This location has also been operating since 2018, which means it has already survived the startup phase that kills many small businesses.
The listing also highlights opportunities to grow print and marketing services, which tend to carry higher margins than basic shipping transactions.
The asking price works out to roughly a 3.17x cash flow multiple.
That is above the industry average of roughly 2.58x.
In other words, you are paying a premium.
Maybe the premium is justified. Maybe not.
That is where diligence matters.
You would want to understand exactly how much of the cash flow comes from shipping, mailbox rentals, printing services, and other revenue streams.
Not all UPS Stores perform equally.
Location quality can make a huge difference.
The default rate for moving and shipping businesses is over 8%.
That is more than double the average default rate across all industries.
That does not automatically make this a bad business.
But it is a reminder that franchise systems and recognizable brands do not eliminate risk.
Execution still matters.
This is a solid business with real cash flow, brand recognition, and a proven operating history.
The debt coverage ratio comes in around 2.17, which provides a healthy cushion for SBA financing.
The main question is valuation.
You are paying more than average for a business in this category.
BizHub scored the deal a 7.3 out of 10.
Not a home run, but definitely worth a closer look for buyers who like franchise businesses with established systems and predictable operations.
Want to see the original listing? View it here →