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Highly Profitable Cannabis, Hemp Testing Laboratory in CA

Listing Number: 51951-548309

Description

 *** PRICE INCREASED with UPDATED FINANCIALS ***


Industry: Regulated Laboratory Services – Cannabis Compliance & R&D Testing

Location: Southern California

License: California Department of Cannabis Control (DCC) Testing Annual License

 

Business Overview



  • Established independent laboratory specializing in full-panel compliance testing for cannabis and hemp products.

  • 100% B2B operations and focused only on providing testing laboratory services.

  • Licensed under California’s stringent regulatory framework, operations are compliant with DCC requirements.

  • Facility strategically located in Southern CA, with clients spread within Southern, Central, and Northern California.

  • Offers a complete testing menu, including potency, terpenes, pesticides, residual solvents, heavy metals, microbiological, and water activity analyses.

  • Known for rapid turnaround times and customer-centric service.

  • The company has demonstrated solid and sustainable growth in 2024 and 2025.

  • We may continue to raise the asking price as the company achieves new revenue and net profit milestones.


Market Opportunity



  • A Captive Market - California remains the largest legal cannabis market worldwide, requiring all commercial products to pass third-party testing.

  • The recent implementation of standardized potency methods (2024) is driving operators toward trusted labs with reliable data integrity and an annual license.

  • Industry consolidation trend: multi-state lab networks and global testing firms seeking licensed footholds in California.


Investment Highlights



  • Turnkey licensed operation with established client base and consistent demand.

  • A strong organization chart with key management in place.

  • Compliance culture aligned with ISO/GLP standards, attractive to both strategic buyers and global TIC (Testing, Inspection, and Certification) consolidators.

  • Opportunity for growth via personnel and CapEx expansion, automation upgrades, and additional R&D services.

  • Located in a prime market corridor with a density of cultivators, manufacturers, and distributors.


Transaction Process


Seller is open to a full buyout or a strategic acquirer.

The transaction will be cash-based. Cannabis related companies are not SBA financable.

A Confidential Information Memorandum (CIM) and financial package will be shared upon execution of an NDA and proper vetting of the inquirer, inclusive of providing proof of funds.


For additional information, contact Matt Manavi at 714-927-9222 or email at mmanavi@tworld.com.

Listing Details

  • Price: $7,450,000
  • Down Payment: $7,450,000
  • Sellers Discretionary Earnings: $1,740,541
  • Total Sales: $5,974,715
  • Location: California

  • Inventory: $0
  • FF&E: $1,220,000
  • Employees:
  • Reason for Selling: Divesture
  • Category: Medical Related Biz
Highly Profitable Cannabis, Hemp Testing Laboratory in CA

Contact Agent:

Nassim Bayat
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