Listing ID: 66658
This semi-absentee owned company is a long-established electronics retail business and repair service specializing in the repair, modification, and sales of a range of electronics, including cell phones, personal computers, game consoles, and small electronics, most notably Apple products. It has a well-deserved reputation for customer-centric operations, earned through a dedication to quality work and devoted customer care.
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- Asking Price: $300,000
- Cash Flow: $92,353
- Gross Revenue: $377,250
- EBITDA: N/A
- FF&E: $50,000
- Inventory: $30,000
- Inventory Included: N/A
- Established: 2011
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,013
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
Located in the heart of downtown and surrounded by many other successful businesses, this company occupies just over 1,000 square feet of space. The windowed storefront is situated with high traffic exposure. Along with locals, the business attracts a good bit of business from the significant tourism to this town.
The seller is willing to assist the new owner through a successful transition period, the specifics of which can be defined during due diligence. The seller has established a strong set of protocols/processes which will make the transition easier for the new owner.
Career shift opportunity.
This company enjoys an environment of little competition. As such, it can pick up business from individuals, businesses, and large volume repair requests from entities such as schools.
Covid brought little disruption to this business. The business continues to enjoy growth and success. There is no reason to think the post-pandemic environment won’t offer even greater growth as people depend more and more on their personal electronic devices.
The business was founded in 2011, making the business 11 years old.
The transaction shall not include inventory valued at $30,000*, which ins't included in the asking price.
The business has 5 employees and is situated in a building with disclosed square footage of 1,013 sq ft.
The property is leased by the company for $1,943.75 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons why people choose to sell businesses. Nevertheless, the real factor vs the one they say to you might be 2 absolutely different things. For instance, they might state "I have a lot of various obligations" or "I am retiring". For many sellers, these reasons are valid. However, for some, these might just be reasons to try to hide the reality of altering demographics, increased competitors, recent decrease in earnings, or a range of other factors. This is why it is really vital that you not depend completely on a seller's word, but instead, utilize the vendor's answer combined with your general due diligence. This will repaint a much more reasonable image of the business's existing scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Numerous businesses borrow money so as to cover things such as inventory, payroll, accounts payable, so on and so forth. Keep in mind that occasionally this can indicate that revenue margins are too tight. Lots of businesses fall into a revolving door of taking loans as a way to pay back other loans. Along with debts, there may additionally be future commitments to think about. There may be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with suppliers that must be satisfied or may lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the location attract brand-new consumers? Often times, companies have repeat clients, which form the core of their everyday profits. Certain elements such as new competition sprouting up around the location, roadway building, as well as personnel turnover can influence repeat clients and also adversely impact future revenues. One important thing to consider is the placement of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Certainly, the more people that see the business on a regular basis, the higher the chance to build a returning consumer base. A final thought is the general area demographics. Is the business situated in a densely populated city, or is it situated on the edge of town? How might the local median family income impact future earnings potential?