Listing ID: 64310
Pool maintenance and service business founded in 2004 is being sold because owner must relocate due to aging parents. Business has over $20k monthly in recurring revenue from maintenance contracts with homeowners associations and condo associations. They also offer pool service, light construction repairs, and some janitorial. Owner willing to offer financing for the right buyer. This is your opportunity to live in paradise and work on the beach.
- Asking Price: $325,000
- Cash Flow: $110,000
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: $25,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 2004
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:2
- Furniture, Fixtures and Equipment:N/A
Owner willing to stay on for 30 days to ensure a smooth transition
relocating for elderly parents
Business has over $20k monthly in reoccurring maintenance income.
The business was established in 2004, making the business 18 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons individuals decide to sell companies. Nonetheless, the real factor vs the one they say to you might be 2 completely different things. As an example, they might claim "I have way too many other responsibilities" or "I am retiring". For many sellers, these factors stand. But also, for some, these may simply be reasons to try to conceal the reality of transforming demographics, increased competitors, recent decrease in revenues, or a range of other factors. This is why it is very vital that you not depend entirely on a vendor's word, yet rather, use the seller's solution along with your general due diligence. This will paint a much more realistic image of the business's current scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your offer. Lots of companies finance loans so as to cover items such as supplies, payroll, accounts payable, etc. Bear in mind that occasionally this can suggest that earnings margins are too small. Lots of companies fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future commitments to consider. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with suppliers that need to be fulfilled or might result in penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the location bring in new consumers? Most times, operating businesses have repeat consumers, which form the core of their daily earnings. Particular factors such as new competitors growing up around the location, roadway building and construction, and employee turn over can affect repeat consumers as well as adversely impact future incomes. One vital point to take into consideration is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Obviously, the more people that see the business on a regular basis, the greater the possibility to develop a returning consumer base. A final idea is the basic area demographics. Is the business situated in a densely populated city, or is it located on the outskirts of town? How might the regional median household earnings influence future income prospects?