Listing ID: 66836

Business Overview

Central WA premier Wood Manufacturing Co., with nearly 40 years of doing business. This complete woodshop ships finished products throughout the Pacific Northwest. The business is currently driven strictly by word of mouth alone. This creates a huge growth potential for any buyer with sales and marketing experience.
Free Standing, Large fenced in yard with room to grow.

Financial

  • Asking Price: $439,500
  • Cash Flow: $173,759
  • Gross Revenue: $764,884
  • EBITDA: N/A
  • FF&E: $260,200
  • Inventory: $15,000
  • Inventory Included: N/A
  • Established: 1982

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:N/A
  • Building Square Footage:9,100
  • Lot Size:N/A
  • Total Number of Employees:N/A
  • Furniture, Fixtures and Equipment:N/A
Purpose For Selling:

retiring

Additional Info

The business was started in 1982, making the business 40 years old.
The sale shall not include inventory valued at $15,000*, which ins't included in the suggested price.

Why is the Current Owner Selling The Business?

There are all types of reasons why individuals choose to sell operating businesses. Nonetheless, the true factor vs the one they say to you may be 2 absolutely different things. For instance, they might say "I have a lot of other obligations" or "I am retiring". For many sellers, these reasons stand. But also, for some, these might just be justifications to try to conceal the reality of transforming demographics, increased competitors, recent decrease in incomes, or a variety of other factors. This is why it is extremely crucial that you not rely entirely on a seller's word, but instead, make use of the seller's answer together with your general due diligence. This will repaint a more realistic picture of the business's present circumstance.

Existing Debts and Future Obligations

If the current entity is in debt, which lots of companies are, then you will need to consider this when valuating/preparing your offer. Many companies finance loans with the purpose of covering items like supplies, payroll, accounts payable, etc. Keep in mind that sometimes this can imply that profit margins are too tight. Many organisations come under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may additionally be future commitments to take into consideration. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with suppliers that must be met or might result in penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the area attract brand-new customers? Often times, companies have repeat consumers, which form the core of their daily profits. Certain variables such as new competitors growing up around the area, roadway building, and staff turnover can impact repeat customers and negatively impact future incomes. 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? Clearly, the more individuals that see the business on a regular basis, the higher the chance to build a returning consumer base. A last thought is the general area demographics. Is the business located in a largely inhabited city, or is it situated on the outskirts of town? Exactly how might the regional typical household earnings impact future earnings potential?