Distribution & Logistics Company Sales
Thinking about how to sell a logistics company or distribution business? It’s never too early to think about your exit strategy. Whether you’re looking to retire, seeking investment, or pursuing something new, a company sale could provide the right opportunity.
Market trends and potential profitability can influence the success of a transaction. Fortunately for business owners in the logistics and distribution sector, demand remains strong for reliable companies offering these services.
As organisations across many industries expand their offerings, they increasingly rely on efficient logistics infrastructure and trusted distribution partners.
With more than 25 years of experience and multiple industry awards, KBS Corporate helps business owners within the logistics and distribution sector connect with qualified buyers.
Distribution & Logistics Company Sales
THE CHANGING DISTRIBUTION AND LOGISTICS MARKET
The distribution and logistics market has evolved rapidly in recent years, creating new opportunities for business owners considering a sale.
Growth in e-commerce and increasing demand for fast, reliable delivery has increased buyer interest in well-established logistics companies. At the same time, rising costs have driven consolidation, with larger operators acquiring smaller businesses to expand their capabilities.
Buyers now prioritise efficiency, technology, and secure long-term contracts, and businesses with strong customer relationships and consistent revenue are often best positioned to achieve higher valuations.
For sellers, these conditions can present an opportunity to secure a competitive offer with the right business exit strategy.
HOW TO VALUE A DISTRIBUTION AND LOGISTICS COMPANY
Recognising the value of a distribution company or logistics business can help manage your expectations when pursuing a sale. If you’d like to understand the process in more detail, our guide to company valuation explains the key factors that influence what a business may be worth.
Factors which influence the value of a distribution and logistics company include:
- Volume, length, and value of contracts
- Profit over the previous three to five years
- Customer acquisition capabilities
- Location and fleet size
- Workforce and management team
- Current market conditions and trends
To communicate the value of a business within the distribution and logistics sector, advisers such as KBS Corporate typically review earnings before interest, tax, depreciation, and amortisation (EBITDA). This metric provides a clearer picture of the company’s underlying operating performance before external financial factors are considered.
When selling a logistics company, owners typically seek a multiple of EBITDA. However, if a company is experiencing financial challenges, different considerations may apply. Our guide to selling a distressed business covers these scenarios in more detail.
Whilst the industry average for distribution and logistics companies ranges between 4x and 6x, the final valuation will depend on factors such as contract strength, fleet capability, workforce stability, and buyer demand.
WHAT AFFECTS THE VALUE OF A COMPANY IN THE DISTRIBUTION AND LOGISTICS SECTOR?
When evaluating the acquisition of a distribution and logistics company, buyers often focus on vendor relationships and recurring revenue streams.
Long-standing contracts can significantly increase the value of a logistics business. Demonstrating strong order volume, frequency, and average order size can help attract the right buyers when selling a logistics company.
STAGES OF SELLING A DISTRIBUTION AND LOGISTICS COMPANY
1. Time your sale
Timing your sale can help maximise value and give you plenty of time to prepare the business for transition. A company sale requires patience and planning, so it’s never too early to start thinking about your exit plans. If you’re unsure where to begin, our guide on how to sell your business explains the process in more detail.
2. Get your finances in order
Your finances will be scrutinised during the sale of your distribution and logistics company. Preparing clear accounts, reports, and financial records can help demonstrate the strength and profitability of the business. Avoiding common pitfalls early can also prevent delays during the process – read our guide to common mistakes when selling a business to learn more.
3. Consult a company sales specialist
Having a skilled business sales adviser on your side can help ensure you achieve the value your company deserves while allowing you to continue running the business. KBS Corporate has extensive experience advising logistics company owners.
4. Prepare a sales memorandum
An information memorandum or sales brochure is used to present your business to potential buyers and highlight its key strengths.
5. Negotiate with interested parties
After sharing the opportunity with the M&A market, several parties may express interest in your business. Now is the time to confirm expectations and determine whether a buyer’s long-term vision aligns with yours.
6. Accept an offer
When an appropriate offer is received, you may choose to accept or negotiate further terms before proceeding, so there is no reason to rush to the final hurdle.
7. Complete due diligence and the legal process
After accepting an offer and agreeing the terms of the sale, the buyer will complete due diligence to confirm their understanding of the business. Solicitors will then oversee the preparation of final contracts and the transfer of ownership.
8. Celebrate!
You’ve done it! Once the legal process is complete, solicitors will confirm that ownership has officially transferred and the sale can be registered with Companies House. Depending on the structure of the deal, you may be preparing to support the new owners during a transition period, or simply planning a well-earned break after successfully selling your logistics company.
WHO WILL BUY MY DISTRIBUTION COMPANY?
By working alongside KBS Corporate, you can explore opportunities with a range of buyer types you may not have previously considered. Our extensive buyer network allows us to introduce your business to qualified buyers actively seeking logistics and distribution companies. Your distribution and logistics company could be acquired by:
- Investors and private equity firms looking to support profitable companies with strong management teams and provide the necessary resources to accelerate future growth
- Individuals looking for an opportunity they can operate as an owner-manager, often with experience in the logistics industry
- Trade buyers seeking expansion and diversification opportunities by acquiring synergy companies in complementary markets
If you are looking to sell or buy a business we would absolutely recommend them.
Justin Williams
FireUS Ltd
“We employed KBS to sell our business FireUs Ltd last year. We has researched into this and they stood out as the best. We were so glad that we picked them whilst it was a very in depth process selling our business, but they supported us and made the experience much easier. The main people that stood out for us with the professionalism and approach were Guy Haynes and Daniel Greenfield. If you are looking to sell or buy a business we would absolutely recommend them.”
“Would definitely recommend them.”
Katherine Prigmore
Business Development Director of Prigmore Haulage
“We used KBS to help with our partial sale! They helped promote us and worked with us the whole way through. The true value for their work came after the offer and Adam worked smoothly with us and could hear that he had our best interest at heart! Would definitely recommend them.”
“From start too finish their service was first class.”
Rodney Greer
Director of Photostatic Anglia
“We initially approached KBS and three other companies to handle the sale of our company. We choose KBS as they were very professional, knowledgeable and responded to all our queries in a timely manner. From start too finish their service was first class. Thank you KBS”
“I could not have completed this without the professionalism and personal interest that I have been afforded”
Simone Lawless
Director of Ibit Solutions
“My husband engaged with KBS in 2020 for the sale of our business. I completed a successful sale in October 2023. During the process my husband passed away and so the process became more complicated than I could have imagined. Luke Rae has been outstanding in his patience, communication and commitment to the sale of our business. I could not have completed this without the professionalism and personal interest that I have been afforded. Thank you Luke and the team.”
“The range of buyers that KBS introduced us to were of a high quality.”
Eric Luckwell
Technical Director of Datalink Electronics
“The range of buyers that KBS introduced us to were of a high quality. Throughout the sales process the shareholders were very pleased with the advice and help given to reach a good conclusion in the sale. Thank you KBS and the staff we worked with.”
HOW LONG WILL IT TAKE TO SELL A DISTRIBUTION COMPANY?
Selling a logistics company requires patience and careful preparation. While a sale typically takes between 9-12 months, the exact timeline depends on factors such as business size, contract structure, and buyer demand.
By working with KBS Corporate, you can reach a wider pool of qualified buyers, improving the chances of securing the right acquirer.
OUR EXPERIENCE OF SELLING DISTRIBUTION AND LOGISTICS COMPANIES
For over 25 years, we have built extensive experience advising on the sale of distribution and logistics companies, connecting business owners with a broad network of potential acquirers across the sector.
This network includes several well-established logistics operators, such as EFS Global, whose group includes a number of companies acquired through KBS Corporate – Logictrans, CS Brunt, Euro SDB, Eminence Transport and Floryn.
In addition, the global leasing and rental company Avis Budget Group, which operates in 180 countries, acquired McNicoll Vehicle Hire as a Scottish base from which it could support further expansion.
SALES WE HAVE COMPLETED
IN THE DISTRIBUTION & LOGISTICS SECTOR
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SELLING A LOGISTICS COMPANY – FAQs
The value of a logistics company is typically based on its profitability, contract strength, and operational assets. Buyers often assess EBITDA and apply a multiple depending on factors such as:
- Fleet size
- Warehouse capacity
- Contract length
- Customer concentration
- Management structure
Market demand within the logistics sector can also influence the final valuation.
Fleet vehicles can either be included within the sale or transferred separately depending on the structure of the deal. When assessing the business’ overall value, buyers will typically review things such as:
- Ownership status
- Lease agreements
- Maintenance records
- Vehicle age
Yes. Many logistics companies are sold while active transport, warehousing, or distribution contracts are in place. Buyers will review contract terms, renewal schedules, and customer relationships during due diligence to understand the stability of future revenue.
Logistics companies are often acquired by trade buyers looking to expand their geographic coverage or service capabilities. Private equity investors may also acquire well-performing logistics businesses with strong management teams and scalable operations.
EXPERT SUPPORT SELLING YOUR DISTRIBUTION & LOGISTICS COMPANY
With extensive experience advising company owners, KBS Corporate supports distribution and logistics businesses through structured and confidential sale processes. Our team combines sector insight, buyer reach, and award-winning M&A expertise to help owners secure competitive offers when selling a company.
Get in touch with KBS Corporate today for a confidential, no-obligation discussion about selling your distribution and logistics business.
