Listing ID: 64322
Business was started in 1990 and has a customer base of 325 clients.The company is prepared to pass the organization’s assets, clientele, and
institutional knowledge to the next generation of dedicated entrepreneurs. One
person working around 20 hours a week was able to gross nearly $100,000 a
year with this business. Imagine doubling the potential
revenue with a new owner with more energy. Inventory and
financial details are available on request. Business comes with 2 boom trucks and lots of inventory and equipment. Current owner works 2-3 hours a day as a hobby. Owner does business for numerous corporations and numerous billboard companies. Owner willing to owner finance.
- Asking Price: $175,000
- Cash Flow: N/A
- Gross Revenue: $100,000
- EBITDA: N/A
- FF&E: $87,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 1990
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:1
- Furniture, Fixtures and Equipment:N/A
Owner willing to stay on to ensure a smooth transition
Owner currently works less than 3 hours a day due to age and energy. A new owner with more dedication and energy will see rapid growth.
The business was started in 1990, making the business 32 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons people decide to sell operating businesses. However, the true reason vs the one they say to you may be 2 totally different things. As an example, they might state "I have too many other obligations" or "I am retiring". For lots of sellers, these factors stand. But also, for some, these may simply be justifications to try to conceal the reality of transforming demographics, increased competitors, current decrease in earnings, or a range of various other factors. This is why it is extremely crucial that you not rely completely on a seller's word, but rather, utilize the vendor's answer combined with your general due diligence. This will paint a more realistic image of the business's current situation.
Existing Debts and Future Obligations
If the existing business is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Many companies finance loans in order to cover things such as stock, payroll, accounts payable, and so on. Bear in mind that occasionally this can mean that profit margins are too thin. Numerous organisations fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future obligations to think about. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that must be fulfilled or may lead to charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the location bring in brand-new clients? Many times, companies have repeat consumers, which create the core of their day-to-day profits. Certain factors such as brand-new competition sprouting up around the area, roadway building, as well as employee turnover can impact repeat clients and negatively affect future incomes. One important point to consider is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Obviously, the more people that see the business often, the higher the opportunity to develop a returning client base. A final thought is the general location demographics. Is the business placed in a largely inhabited city, or is it located on the outside border of town? Exactly how might the neighborhood median household earnings impact future revenue potential?