Listing ID: 64306
This listing has amazing potential. This is a local restaurant location since 2005 in Auburn Alabama. It also includes a food truck permitted to setup on Auburn’s campus daily for students and for special events and athletic events. This is truly two different income streams from the same business. Auburn is currently the fastest growing large city in the state growing at a whopping 43%. Now is your chance to cash in on the tremendous growth with a well run and well established business of 16 years. Owner financing is available.
- Asking Price: $330,000
- Cash Flow: $87,000
- Gross Revenue: $600,000
- EBITDA: N/A
- FF&E: $85,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 2005
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:7
- Furniture, Fixtures and Equipment:N/A
The restaurant is well established and has been in its current location since 2005. The restaurant also owns and manages a food truck licensed to visit campus during school days and athletic events.
Owner willing to stay on 30 days to ensure a smooth transition
Owner has a restaurant location and a food truck that is permitted to visit Auburn campus during classes and also during special events and athletic events. What a HUGE opportunity
Auburn is an extremely fast growing community. Auburn used to be a sleepy college town, except on game days. Now it is the fastest-growing large city in the state. Auburn grew from 53,380 residents in 2010 to 76,143 residents in 2020. That is an increase of 22,763 people — 42.64 percent growth. The business continues to grow as the population expands.
The venture was established in 2005, making the business 17 years old.
The company has 7 employees and is located in a building with disclosed square footage of N/A sq ft.
The building is leased by the business for $2,400 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals decide to sell companies. Nonetheless, the real factor and the one they say to you might be 2 completely different things. For instance, they might claim "I have way too many other commitments" or "I am retiring". For numerous sellers, these factors are valid. But, for some, these may simply be reasons to attempt to conceal the reality of altering demographics, increased competitors, current decrease in revenues, or a variety of various other reasons. This is why it is very vital that you not rely totally on a seller's word, but rather, make use of the vendor's answer together with your overall due diligence. This will paint an extra sensible image of the business's current scenario.
Existing Debts and Future Obligations
If the current business is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your offer. Numerous businesses finance loans in order to cover things such as inventory, payroll, accounts payable, etc. Bear in mind that occasionally this can suggest that revenue margins are too tight. Numerous companies fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may likewise be future commitments to take into consideration. There might be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that must be met or might lead to charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the location attract brand-new customers? Often times, operating businesses have repeat clients, which form the core of their everyday profits. Specific aspects such as brand-new competition growing up around the area, roadway building and construction, and employee turn over can affect repeat customers and also negatively influence future revenues. One essential point to think about is the location of the business. Is it in an extremely trafficked shopping center, or is it concealed from the highway? Obviously, the more individuals that see the business often, the better the opportunity to build a returning customer base. A final idea is the general location demographics. Is the business located in a densely populated city, or is it situated on the edge of town? Exactly how might the regional mean home earnings impact future revenue potential?