Listing ID: 66740
With the uncertainty that 2020 has brought due to Covid 19, buyers are looking for a stable business to invest into. Not only has this painting company been stable, but they have seen sustained growth and have been one of the fastest growing small business painting companies in the Vancouver/Portland area.
Started in 2013, annual had already eclipsed half a million by 2019. With a work from home office this business provides the ability to manage safely out of your own home or to be able to choose your own ideal location to rent.
Strong customer ratings and consistently high levels of service have made this an ideal business for anyone looking to establish a presence in the painting industry or to expand your current painting businesses territory and customer base.
- Asking Price: $290,000
- Cash Flow: $89,200
- Gross Revenue: $525,001
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2013
- 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
Seller will negotiate a transition period
The venture was founded in 2013, making the business 9 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons individuals choose to sell businesses. However, the real reason and the one they say to you may be 2 absolutely different things. For instance, they might claim "I have a lot of other commitments" or "I am retiring". For many sellers, these reasons are valid. But, for some, these may simply be justifications to attempt to hide the reality of altering demographics, increased competitors, current decrease in earnings, or an array of other factors. This is why it is really essential that you not depend entirely on a seller's word, however rather, utilize the seller's response together with your total due diligence. This will repaint an extra sensible picture of the business's present situation.
Existing Debts and Future Obligations
If the current company is in debt, which many companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of operating businesses take out loans so as to cover items like inventory, payroll, accounts payable, so on and so forth. Bear in mind that occasionally this can mean that earnings margins are too thin. Many organisations fall into a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may additionally be future obligations to consider. There might be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with suppliers that must be fulfilled or may lead to penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the area attract brand-new consumers? Often times, operating businesses have repeat clients, which develop the core of their daily profits. Certain variables such as brand-new competition sprouting up around the area, roadway construction, and also employee turnover can impact repeat customers and also adversely affect future earnings. One vital point to take into consideration is the area of the business. Is it in a highly trafficked shopping mall, or is it concealed from the main road? Certainly, the more people that see the business on a regular basis, the better the possibility to develop a returning consumer base. A final idea is the general area demographics. Is the business placed in a densely populated city, or is it located on the outskirts of town? How might the local mean household earnings influence future revenue potential?