Surplus Diabetic, a distributor of specialized medical supplies for people with diabetes, serves wholesale and retail customers. Since the company opened its doors in 2016, it has grown impressively, now with over 20 employees and an extensive nationwide distribution network.
In mid-2022, Surplus Diabetic joined the ADDvise Group, a strategic move to propel their company forward. Since then, their business has thrived, increasing both profit margins and their EBITDA.
As Surplus Diabetic considered the next phase of their growth, they first looked at acquiring another company to leverage synergies. However, this changed when they were approached by several companies interested in acquiring them.
Open to new opportunities, the president of Surplus Diabetic, Haviv Cohen, met with several companies. However, finding a suitable partner was challenging. They decided to take one final meeting with ADDvise, and suddenly, everything fell into place.
ADDvise was the perfect fit, offering the support Surplus Diabetic needed while at the same time promising a distributed business model that aligned seamlessly with their existing culture.
Initially, there were some hesitations. Haviv’s conversations with other businesses that had joined traditional private equities painted a bleak picture. But the story Haviv tells now is a very different one. With the help of ADDvise, they developed strategies that have already shown impressive results, and they are looking at a very bright future.
“ADDvise has given us the financial expertise and knowledge that allowed our business to take major steps forward. Between what was promised and what they delivered, it was just as advertised and even exceeded our expectations,” says Haviv.
Surplus Diabetics first endeavor with ADDvise was a collaborative brainstorming session focusing on how to increase their profit margins from existing sales. The strategies they developed increased their EBITDA by an average of 30 percent, with some months exceeding 100 percent.
“Our results have skyrocketed and are a lot more than we could have hoped for,” says Haviv, and continues. “The people at ADDvise are experts in their field and have been instrumental to our continued success”.
At Surplus Diabetic, a culture of making decisions that best serve the business has always been important. Realizing they were at a point where the company needed more than they alone could provide, Haviv and his team were open to exploring other solutions.
“Although acquiring another company would have been good for us, we did not want to slow down the momentum of our business. When we met ADDvise, we knew it was a great fit and one that would benefit our business,” says Haviv. He finishes: “Since closing the deal with ADDvise we have experienced unprecedented growth, and we are truly grateful that we took this step.”