CONFIDENTIAL

BUSINESS OFFERING

leevancouver.com
TABLE OF CONTENTS

Business Overview 1
MARKET ADVISOR Overview 1
Historical Financials 1
JOHN-ERIK GRAIN
Personal Real Estate Corporation
Pricing Breakdown 1
D 604.630.3060 C 778.581.3456 Determination of Business Asking Price 2
je.grain@lee-associates.com Business Details 3
Location & Demographic Data 5
2020 Demographic Snapshot 5
Business Operation 6
Business Operation Details 6
Industry & Market Overview 7
Financials 8
Financial Summary 8
Normalized Historical Income Statements 9
Projected Income Statements 11
Glossary of Terms 12

Although the information contained within

is from sources believed to be reliable, no
warranty or representation is made as to its
accuracy being subject to errors, omissions,
conditions, prior lease, withdrawal or other
changes without notice and same should not be
relied upon without independent verification. ©
Lee & Associates Commercial Real Estate (BC)
Ltd. All Rights Reserved.

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW

ACKNOWLEDGEMENT & CONDITIONS

By accepting and reading this information, the recipient or reader of this document hereby acknowledges, agrees to and accepts,
the following terms and conditions:

PURPOSE
This Confidential Business Offering (“CBO”), presented by Lee & Associates Commercial Real Estate (BC) Ltd. (“Lee & Associates
Vancouver”), is intended to acquaint a prospective purchaser with preliminary financial information regarding the client Business
(the ”Business”) whose Business is currently available for acquisition, sale or merger.

This CBO is only being furnished to prospective purchasers that have signed a Confidentiality Agreement/Non Disclosure
Agreement (“NDA”) and have made a specific request for information regarding the Business for the purpose of the potential
acquisition of the Business. Each prospective purchaser is responsible for the performance and expense of the due diligence
review prior to any acquisition of the Business or related assets.

To qualified and seriously interested purchasers, a Confidential, Financial Analysis (“CFA”) may be made available normally,
once a Contingent Offer has been presented and accepted by the vendor or, in qualified circumstances, and to the broker’s sole
discretion, prior to making such an Offer, for additional assessment and valuation of the Business with the intent, if satisfied, to
make an Offer.

NOTICE OF CONFIDENTIALIT Y
Lee & Associates Vancouver represents this client on an exclusive basis. The information presented in this document is highly
sensitive and confidential and is for use only by those who have signed the NDA as deemed necessary by the Broker’s sole
judgment for the purpose of considering the Business or the vendor’s or company’s business described herein for acquisition.
This CBO and the information presented shall be treated as Secret and Confidential and no part of it shall be disclosed to others,
except as provided in the NDA. It is highly important to the Business and its current owner(s) that all Confidential Information be
held in the strictest of confidence. The Business could be seriously damaged should word that “the Business is for sale” reach its
employees, customers, competitors and/or others, or should information contained herein fall into other wrong hands. This CBO
cannot be reproduced, duplicated, shared or revealed, in whole or in part, or used in any other manner without the prior written
permission of Lee & Associates Vancouver. Should the receiving party have no further interest in the acquisition of the Company
or its business, the CBO and all information shall be promptly returned to Lee & Associates Vancouver, or if received electronically,
deleted and destroyed and the Broker shall be notified of having done so. The user, and or reader, shall upon the broker’s or Lee &
Associates Vancouver’s request, execute a certificate of deletion/destruction confirming of having deleted and destroyed any and
all information including any information developed by the user from this CBO, information and or report.

DISCL AIMER
The Vendor has supplied the information contained in this Document. Lee & Associates Vancouver has not audited or otherwise
confirmed this information and makes no representations, expressed or implied, as to its accuracy or completeness or the
conclusions to be drawn, and shall in no way be responsible for the content, accuracy, and truthfulness of such information. Any and
all representations shall be made solely by the Vendor as set forth in a signed agreement, or purchase contract, which agreement
or contract shall control the representations and warranties, if any. By requesting this information package or CBO, the recipient,
user or reader acknowledges the responsibility of non disclosure and to perform a due diligence review prior to the acquisition of
the Business, or Company, or assets thereof, and in whole or in part, and or merger, or interest in the Business, or Company.

The information presented in this CBO is the result of the Client’s or Management’s representations and research utilizing sources
and materials considered to be reliable and to contain information deemed to be relevant to the Business and or Company but
without any guarantees, or specifics, statements deemed stated, or implied.

The Pro Forma Income Statements presuppose the infusion of any necessary operating capital, adequacy of personnel, expertise
at all levels of operations and a firm dedication to attain growth. Such pro forma financial information and projections cannot
anticipate economic, socioeconomic, and political factors, which might impact the expected growth. Accordingly, Lee & Associates
Vancouver makes no representations, expressed or implied, as to the validity, accuracy or relevance of the pro forma projections.

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW

THE SALES PROCESS

Upon review of this Confidential Information

01 REVIEW CONFIDENTIAL Memorandum, interested parties are encouraged
BUSINESS OFFERING
to do their own preliminary due diligence and
if still interested they are requested to submit
a non-binding Letter of Intent (LOI) to Lee &
Associates. The Letter of Intent should include:
02 CONDUCT PRELIMINARY DUE
DILIGENCE AND COMPILE
f Purchase price and means by which it is to be paid
QUESTIONS

f Conditions precedent, including due

diligence requirements and time required
03 CONFERENCE CALL AND SITE
VISIT WITH BUYER, SELLER, f Closing date
BROKER
f Any restrictive covenants such as non-
compete clauses

f Details on transition requirements of the Seller

04 PRESENT LOI TO PURCHASE

05 NEGOTIATE & EXECUTE PRICE

AND TERMS OF LOI

06 FORMAL BUYER/SELLER DUE

DILIGENCE AND FINANCING
APPROVAL

07 SHARE PURCHASE AGREEMENT

EXECUTION AND SIGNING

08 CLOSE TRANSACTION AND

TRANSFER FUNDS

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW

BUSINESS OVERVIEW

OVERVIEW
This famous bike shop has been a major player in Western Canada’s “Bike Culture” for decades. The business is
located in a character building within an increasingly upscale family neighbourhood. The owner is retiring; leaving
behind a legacy of service professionals & awards, systemized sales, maintenance & warranty procedures, local &
international support. Exclusive brands in both pedal and electric bikes; with a huge, current selection of accessories
and aftermarket add-ons.

The new owners are ensured a smooth transition by being personally introduced to the staff, suppliers, landlords, agencies,
customers, etc. All key staff are motivated to stay on as part of this grassroots, neighbourhood institution. The certified
service staff are well-trained and passionate about cycling. The profitability of this business will continue to climb.

The pandemic has resulted in a huge expansion of the customer base for the cycling industry because people don’t
want to take public transportation. These customers will continue riding after COVID-19 because of the physical and
mental health benefits.

HISTORICAL FINANCIALS
YEAR REVENUES EBITDA* SDE**
2024 (projected) $1,846,688 $268,486 $328,486
2023 (projected) $1,758,750 $250,301 $310,301
2022 (estimated) $1,675,000 $227,620 $287,620
2021 $1,556,134 $197,960 $257,960
2020 $1,475,526 $186,908 $246,908
2019 $1,056,448 $43,724 $103,724
*EBITDA: Earnings before Interest, Taxes, Depreciation and Amortization

PRICING BREAKDOWN
Business $425,000.00
Target Working Capital Not included
Inventory $525,000.00
Total Package Price $950,000.00

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 1

BUSINESS OVERVIEW

DETERMINATION OF BUSINESS ASKING PRICE

The total package price is derived using the Income Approach, the Market Approach and the Asset Approach to value
in accordance with the National Association of Valuators and Analysts. Different methods are more or less applicable
to business value depending on many factors or value drivers. The selected factors are weighted and applied to the
appropriate method using the appraiser’s best judgement.

The Income Approach is derived using the principle of future benefits and is commonly referred to as a discounted
cash flow method. The value for the business today relates to the value of the future potential earnings of the business
and is then discounted for risk.

The market and asset approaches to value use the Principle of Substitution. Value using the asset approach is derived
by determining the replacement cost of all assets assuming similar assets have similar values. This value method is
typical for use with businesses that have high-value equipment required to generate cash flow.

The market approach considers comparable transactions adjusted for deal-specific factors that may affect the final
value range. These guideline companies are companies that provide a reasonable basis for comparison to the
relevant investment characteristics of a company being valued under the presumption that a similar market exists
for the subject company as exists for the guideline companies. Ideal guideline companies should be in the same
business as the company being valued. However, if there is insufficient transaction evidence in the same business, it
may be necessary to consider companies with an underlying similarity of relevant investment characteristics such as
markets, products, growth, cyclic variability, and other salient factors. The most applicable comparative transactions
for a private company are for sales of other private companies. Comparable transactions are identified by SIC and
NAICs codes. In addition, research is performed to identify overall industry averages. Based on the performance
evaluated in the Benchmark Analysis, multiples can be accurately selected.

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 2

BUSINESS OVERVIEW

BUSINESS DETAILS
PROPRIETORSHIP Denman Bike Shop Ltd.
ADDRESS 2607 Main Street, Vancouver, BC V5T 3E5
ESTABLISHED 1995
OWNERSHIP Justis Morginn
PROPERTY DETAILS f Exclusive brands
f Bike culture
f Unbeatable reputation
f Unique accessory brands
f Consistent sales and profit growth
f Trained staff included
f Established customer base
f Lengthy transition included
PROPERTY SIZE Long term lease. Over 4,000 SF on 2 floors.
TYPE OF SALE OFFERED Share sale
OWNERSHIP TYPE Corporation
NAICS CODE 451110 — Sporting Goods Stores
SIC CODE 5941-41 — Bicycles - Dealers

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 3

BUSINESS OVERVIEW

BUSINESS HIGHLIGHTS
f Exclusive brands
f Bike culture
f Unbeatable reputation
f Unique accessory brands
f Consistent sales and profit growth
f Trained staff included
f Established customer base
f Lengthy transition included

AWARDS
f The Georgia Straight Best of Vancouver Readers’ Choice Award 2018–2019
f WE The Best of the City Readers’ Choice Award 2006–2013
f Vancouver Courier Stars of Vancouver Readers’ Choice Awards Winner 2009–2013

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 4

LOCATION & DEMOGRAPHIC DATA

2020 DEMOGRAPHIC SNAPSHOT

1 km 3 km 5 km 10 min drive
Estimated Population 27,375 232,581 484,276 471,068
Population Change (2015-2020) 7.9% 6.0% 3.9% 3.8%
Median Age 36.5 38.2 39.0 38.8
Households 14,555 116,217 228,828 215,922
Average Household Income $102,480 $108,364 $107,428 $108,440
Total Daytime Population 29,882 357,461 602,823 593,946
Source: Environics Analytics

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 5

BUSINESS OPERATION

BUSINESS OPERATION DETAILS

SERVICES OFFERED
Denman Bike Shop specializes in the servicing of commuter, city, road, mountain, comfort and cruiser bikes.

f Safety inspection f Minor truing of both wheels

f Inspect & inflate tires f Full brakes & gears adjustments
f Wipe clean & lube chain f Re-surface brake pads (disc n/a)
f Minor gear & brake adjustments f Lube cables
f Complete bolt check f Mechanic test ride
f Wipe clean bike frame f Adjust bb & hubs & headset bearings
f Wipe clean drive – train f Drive - train removal & clean & re-install
f Wipe clean rims & hubs f Overhaul - front & rear hubs & headset

INVENTORY
$525,000 — inventory, at cost, is in addition to the purchase price.

LEASE SUMMARY
Long term lease

INCLUDED IN SALE
f Fixtures displays
f Shop T.I.’s
f Tools and equipment
f Exclusive selling rights

NOT INCLUDED IN SALE

f Personal vehicles
f Personal belongings

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 6

INDUSTRY & MARKET OVERVIEW

Cycling has always been popular in Vancouver, but it has exploded during the COVID-19 pandemic with bike sales
spiking as Vancouverites look for fitness and travel alternatives.

Vancouver bike shops say demand for bikes is higher than ever as new customers flock to their stores, wanting to stay
active and get around amid COVID-19 restrictions. Since B.C. health officials issued advice to physically distance from
others, biking has become a popular alternative to crowded public transportation.

The general manager of Denman Bike Shop says the store is seeing unprecedented demand, particularly for more
affordable, entry-level bikes. “We have an incredible demand for new cyclists and people looking for comfort bikes
and entry-level commuter bikes,” said Julie Bischoff.1

The City of Vancouver reports that weekday bike traffic increased 48 per cent during the last week of May 2020
compared to 2019. Meanwhile, weekday vehicle traffic fell 25 per cent in the same period. Most of the increased bike
traffic has been on recreational routes — a 43 per cent increase during between June 2 and 4, compared to a 28 per
cent reduction in commuter routes. The biggest increase has been in Stanley Park, which the city shut to vehicle traffic.2

1. https://www.cbc.ca/news/canada/british-columbia/bike-sales-spike-vancouver-covid-travel-1.5572344

2. https://vancouversun.com/news/local-news/covid-19-vancouver-bike-business-booms-as-people-seek-exercise-option

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 7

FINANCIALS

FINANCIAL SUMMARY

FINANCIAL PERFORMANCE

OCT 31 OCT 31 OCT 31 2022 OCT 31 2023 OCT 31 2024

OCT 31 2020
2019 2021 EST. PROJ. PROJ.

Revenue $1,056,448 $1,475,526 $1,556,134 $1,675,000 $1,758,750 $1,846,688

Normalized Pre Tax

$39,825 $180,028 $190,489 $221,120 $244,801 $263,486
Net Income

EBITDA $43,724 $186,908 $197,960 $227,620 $250,301 $268,486

SDE $103,724 $246,908 $257,960 $287,620 $310,301 $328,486

*EBITDA: Earnings before Interest, Taxes, Depreciation and Amortization

**SDE: Seller’s Discretionary Earnings

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 8

FINANCIALS

NORMALIZED HISTORICAL INCOME STATEMENTS

DENMAN BIKE SHOP LTD. OCT 31 2019 OCT 31 2020 OCT 31 2021
Sales $1,056,448 $1,475,526 $1,556,134
Bicycles $446,579 42.3% $818,628 55.5% $- 0.0%
E-Bikes $52,932 5.0% $45,614 3.1% $- 0.0%
Accessories $313,683 29.7% $376,909 25.5% $- 0.0%
Bicycle Parts $142,161 13.5% $131,571 8.9% $- 0.0%
Bicycle Rental $- 0.0% $3,683 0.2% $- 0.0%
Labour $100,204 9.5% $98,105 6.6% $- 0.0%
PST Commission $889 0.1% $1,016 0.1% $- 0.0%
Cost of Goods Sold $541,899 51.3% $786,914 53.3% $803,918 51.7%
Purchases $539,431 51.1% $775,934 52.6% $780,000 50.1%
Freight $2,468 0.2% $11,004 0.7% $8,000 0.5%
Gross Margin $514,549 48.7% $688,612 46.7% $752,216 48.3%

Expenses
Advertising $10,522 1.0% $4,125 0.3% $5,551 0.4%
Personnel Expenses
Salaries, Wages & Benefits $249,955 23.7% $271,847 18.4% $320,528 20.6%
Owners Salaries $82,754 7.8% $148,854 10.1% $127,058 8.2%
Subtotal $332,709 31.5% $420,701 28.5% $447,586 28.8%
Variable Expenses
Amortization $3,899 0.4% $6,880 0.5% $7,471 0.5%
Bad Debt $- 0.0% $- 0.0% $2,071 0.1%
Interest & Bank Charges $19,372 1.8% $28,577 1.9% $26,064 1.7%
Office $7,917 0.7% $15,532 1.1% $12,083 0.8%
Professional Fees $3,003 0.3% $5,772 0.4% $4,143 0.3%
Travel Meals & Ent $1,021 0.1% $868 0.1% $470 0.0%
Supplies $5,340 0.5% $3,171 0.2% $6,419 0.4%
Vehicle $4,847 0.5% $5,546 0.4% $4,212 0.3%
Subtotal $45,399 4.3% $66,346 4.5% $62,933 4.0%
Occupancy Costs
Rent $92,235 8.7% $95,465 6.5% $98,314 6.3%
Repairs & Maintenance $3,729 0.4% $3,043 0.2% $1,486 0.1%
Insurance $12,653 1.2% $12,739 0.9% $15,098 1.0%
Telephone $8,704 0.8% $11,658 0.8% $12,535 0.8%
Utilities $4,009 0.4% $- 0.0% $- 0.0%
Subtotal $121,330 11.5% $122,905 8.3% $127,433 8.2%
Total Expenses $509,960 48.3% $614,077 41.6% $643,503 41.4%
Income from Operations $4,589 0.4% $74,535 5.1% $108,713 7.0%

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 9

FINANCIALS

ADJUSTMENTS TO INCOME

OCT 31 2022 OCT 31 2023 OCT 31 2024

DENMAN BIKE SHOP LTD. OCT 31 2019 OCT 31 2020 OCT 31 2021
ESTIMATED PROJECTED PROJECTED
Income from Operations $4,589 0.4% $74,535 5.1% $108,713 7.0% $217,520 13.0% $241,201 13.7% $258,886 14.0%

Owner Wage $82,754 7.8% $148,854 10.1% $127,058 8.2% $60,000 5.7% $60,000 4.1% $60,000 3.9%
Ded Reas GM Wage -$60,000 -5.7% -$60,000 -4.1% -$60,000 -3.9% -$60,000 -5.7% -$60,000 -4.1% -$60,000 -3.9%
Automotive (personal) $2,424 0.2% $2,773 0.2% $2,106 0.1% $- 0.0% $- 0.0% $- 0.0%
Advertising (personal) $2,500 0.2% $2,500 0.2% $2,500 0.2% $- 0.0% $- 0.0% $- 0.0%
Office (personal) $3,959 0.4% $7,766 0.5% $6,042 0.4% $- 0.0% $- 0.0% $- 0.0%
Cell Phones (personal) $3,600 0.3% $3,600 0.2% $3,600 0.2% $3,600 0.3% $3,600 0.2% $3,600 0.2%
Normalized Pre-Tax
$39,825 3.8% $180,028 12.2% $190,489 12.2% $221,120 20.9% $244,801 16.6% $263,486 16.9%
Net Income

Amortization $3,899 0.4% $6,880 0.5% $7,471 0.5% $6,500 0.6% $5,500 0.4% $5,000 0.3%
Interest on LTD $- 0.0% $- 0.0% $- 0.0% $- 0.0% $- 0.0% $- 0.0%
EBITDA $43,724 4.1% $186,908 12.7% $197,960 13.4% $227,620 21.5% $250,301 17.0% $268,486 18.2%

Owner/GM Wages $60,000 5.7% $60,000 4.1% $60,000 3.9% $60,000 5.7% $60,000 4.1% $60,000 3.9%
Sellers Discretionary Earnings (SDE) $103,724 9.8% $246,908 16.7% $257,960 17.5% $287,620 27.2% $310,301 21.0% $328,486 22.3%

HOME HARDWARE CONFIDENTIAL BUSINESS OVERVIEW 10

FINANCIALS

PROJECTED INCOME STATEMENTS

OCT 31 2022 OCT 31 2023 OCT 31 2024

DENMAN BIKE SHOP LTD.
ESTIMATED PROJECTED PROJECTED
Sales $1,675,000 $1,758,750 $1,846,688
Cost of Goods Sold $860,000 51.3% $900,000 51.2% $950,000 51.4%
Purchases $850,000 50.7% $925,000 52.6% $1,000,000 54.2%
Freight $5,000 0.5% $8,000 0.5% $10,000 0.5%
Gross Margin $815,000 48.7% $858,750 48.8% $896,688 48.6%

Expenses
Advertising $6,000 0.4% $7,000 0.5% $8,000 0.5%
Personnel Expenses
Salaries, Wages & Benefits $350,000 20.9% $360,000 20.5% $370,000 20.0%
Owners Salaries $60,000 3.6% $60,000 4.1% $60,000 3.9%
Subtotal $410,000 38.8% $420,000 28.5% $430,000 27.6%
Variable Expenses
Amortization $6,500 0.4% $5,500 0.3% $5,000 0.3%
Bad Debt $- 0.0% $- 0.0% $- 0.0%
Interest & Bank Charges $30,000 1.8% $31,658 1.8% $33,240 1.8%
Office $4,000 0.2% $4,500 0.3% $5,000 0.3%
Professional Fees $4,000 0.2% $4,500 0.3% $5,000 0.3%
Travel Meals & Ent $500 0.0% $1,000 0.1% $1,000 0.1%
Supplies $4,000 0.2% $4,500 0.3% $5,000 0.3%
Vehicle $- 0.0% $- 0.0% $- 0.0%
Subtotal $49,000 2.9% $51,658 2.9% $54,240 2.9%
Occupancy Costs
Rent $103,230 6.2% $108,391 6.2% $113,811 6.2%
Repairs & Maintenance $3,500 0.2% $4,000 0.2% $4,500 0.2%
Insurance $13,250 0.8% $13,500 0.8% $13,750 0.7%
Telephone $5,000 0.3% $5,000 0.3% $5,000 0.3%
Utilities $7,500 0.4% $8,000 0.5% $8,500 0.5%
Subtotal $132,480 7.9% $138,891 7.9% $145,561 7.9%
Total Expenses $597,480 35.7% $617,549 35.1% $637,801 34.5%
Income from Operations $217,520 13.0% $241,201 13.7% $258,886 14.0%

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 11

APPENDIX
GLOSSARY OF TERMS

C APITAL EXPENDITURE (C APEX)

Funds used by a company to acquire or upgrade physical assets such as property, plant or equipment. This outlay is made by
companies to maintain or increase the scope of their operations.

C ASH FLOW FROM OPER ATION (CFO)

CFO represents the cash generated from the operations of a company. Cash flow is also often used to identify the company’s
earnings.

EBITDA [SEE EBIT, SDE]

Earnings before Interest, Taxes, Depreciation and Amortization. EBITDA is an indicator of a company’s financial performance. Could
be normalized or not. When normalized it is net of any discretionary, non-recurring and non operational expenses or income. In
essence, it is the Net profit of the business plus interest on long term debt plus taxes plus depreciation and amortization.

EBIT [SEE EBITDA , SDE]

Earnings before Interest and Taxes. It is the Net profit of the business plus interest on long term debt plus taxes.

FAIR MARKET VALUE (FMV) [SEE NET BOOK VALUE]

The price at which the business and/or property would change hands between a willing purchaser and a willing vendor, neither
being under any compulsion to buy or to sell and both having reasonable knowledge of the relevant facts.

FREE C ASH FLOW (FCF)

FCF represents the cash that a company is able to generate after meeting its reinvestment needs in the form of working capital
and capital expenditures. Also called free cash flow to firm (FCFF), it is the cash available to be distributed to all capital providers
of the company.

GOODWILL
The collection of intangible assets represented in dollars by the difference between the total purchase price for the business and
the net value of the tangible assets being purchased.

GROSS MARGIN
A company’s total sales revenue minus cost of goods sold, divided by the total sales revenue, expressed as a percentage. Gross
margin is an important measure of a company’s profitability.

NET BOOK VALUE (NBV) [SEE FAIR MARKET VALUE]

NBV is the value at which an asset is carried on a balance sheet. It is the historical cost of an asset minus accumulated depreciation.

NORMALIZED FINANCIAL STATEMENTS

Normalized financial statements are financial statements that have been adjusted to eliminate non-recurring and non-business
related items.

PRO FORMA
A method of calculating financial results in order to emphasize projected figures.

SDE [SEE EBITDA , EBIT]

Seller’s Discretionary Earnings. SDE is a commonly used valuation multiple for small businesses where the purchaser would most
likely be an individual or main street purchaser, who would take on a hands-on approach to working in the business. It is typically
EBITDA plus one owner’s salary adjusted to FMV.

WORKING C APITAL
Also called net working capital, though there are a number of methods for calculating this, it is traditionally calculated as total
current assets minus total current liabilities, excluding interest-baring debt. Investment in Working Capital in the form of inventory
and accounts receivable is necessary to maintain the company’s daily operations. Working Capital is a measure of both a company’s
efficiency and its short-term financial health.

DENMAN BIKE SHOP CONFIDENTIAL BUSINESS OVERVIEW 12

 PREPARED BY:

JOHN-ERIK GRAIN
PERSONAL REAL ESTATE CORPORATION
BUSINESS SALES & ACQUISITIONS
D 604.630.3060
C 778.581.3456
JE.GRAIN@LEE-ASSOCIATES.COM

LEE & ASSOCIATES VANCOUVER

475 WEST GEORGIA STREET, SUITE 800
VANCOUVER, BC V6B 4M9
604.684.7117
LEEVANCOUVER.COM

Although the information contained within is from sources believed to be reliable, no warranty or representation is made as to its accuracy being
subject to errors, omissions, conditions, prior lease, withdrawal or other changes without notice and same should not be relied upon without
independent verification. © 2022 Lee & Associates Commercial Real Estate (BC) Ltd. All Rights Reserved.