(Costa Rica Entomological Supply)
A world leader in the supply of farm-bred neotropical butterfly pupae for 35 years.
Buildings and Offices
Costa Rica Entomological Supplies’ main building is two stories, situated on the forest’s edge with a unique view extending the length of the Central Valley with Irazú volcano framed perfectly at the far end. The administrative offices, 160 m2 upstairs, and 120 m2 custom-built packing room for the export of butterfly pupae, below.
Secondary buildings consist of a caretaker’s house that also serves for packing supplies. There is also a kitchenette for the staff.
Land: 11,953 m2
The property is situated 100 m in off the public road at the end of a cul-de-sac. 40 minutes from San José, the capital city, and 30 minutes from the Juan Santamaría international airport, CRES is ideally situated for its logistics needs. An additional important feature is that the offices reside across the street from Ciudad Hacienda Los Reyes Country Club, an attractive option for residence or simply as a member to take full advantage of its great amenities (golf, tennis, swimming, restaurants & more).
20% (2,391 m2) x $100/m2 = $239,100
80% (9,562 m2) x $40/m2 = $382,496
Servers, software and specialized equipment
Costa Rica Entomological Supply is the most technologically advanced and comprehensive full-service exporter of butterfly pupae in the world.
Newly developed proprietary software (3rd generation): $120,000
Automatic power generator: $5,000
Fully furnished offices, computers, licensed software: $25,000
Foreseeable annual profits
Costa Rica Entomological Supply, a global leader in its market, has been exporting butterfly pupae for 35 years. For the last decade annual sales of live butterflies have ranged between $1.5 million and $2.0 million. The company’s after-tax profits, together with benefits accrued to the owners, have exceeded $225,000/year.
The company is successfully negotiating the Covid-19 world. Many clients, butterfly exhibits, have closed temporarily. Some will likely close permanently. Nonetheless, exports continue in 2020 at about 40% their previous level. A reasonable worst-case scenario would project $100,000/year benefit accruing to the company and its owners.
CRES is in an excellent position to weather the Covid storm. Freed of paying rent, with no long and medium-term debt, and a labor schedule that’s adjustable according to export demand, the company can adjust its cost structure as needed.
While the global butterfly exhibit industry will diminish with the closure of butterfly exhibits due to Covid-19, several factors auger positively for CRES’ future…
1. During recessionary times, when the public is unable to travel, visitations to butterfly houses typically increases, fueled primarily by restive local residents.
2. Multi-million dollar butterfly exhibits MUST display butterflies if they are to remain open.
3. A typical butterfly lives about a month, leading to a sustained market demand.
4. New clients are likely to be acquired as the market adjusts to a post-Covid world which, in all probability, will involve to one extent or another fewer suppliers.
Foreseeable profits and direct benefits for the owners of CRES, over 8 years: $800,000.
The company’s founder and president would be willing to continue to serve as advisor to the company to facilitate a successful and smooth transition. $25,000
Total value for the turnkey company with land, offices, equipment, computer systems and market: $1,750,000.
We will contact you as soon as possible.