Listing ID: 66934
Business Overview
Successful Green Dry Cleaners with two busy locations in upscale areas. Customer pick-up and delivery service available as well as walk-ins. The Company has a loyal customer base with over 750 customers. PPP proceeds were received in 2020 and 2021 and were used for expenses but not included in revenue. Locations can be purchased separately if desired. Details available in CIM.
Financial
- Asking Price: $365,000
- Cash Flow: $99,829
- Gross Revenue: $738,179
- EBITDA: N/A
- FF&E: $272,991
- Inventory: N/A
- Inventory Included: N/A
- Established: 1998
Detailed Information
- 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
Two (2) locations in Portland Metro areas with desirable upscale clientele.
Will train for 4 weeks @ $0 cost. Production processing of clothing and linens using Green dry-cleaning techniques. Machine and solutions onsite or out sourced if desired. Daily walk-in customer service and local delivery option for loyal clients. A background in customer service, and bookkeeping are key skills needed to operate. Knowledge of repairs and alterations a plus.
Owner is ready to retire.
Low competition in the area, only two other dry cleaners in the vicinity. Loyal customer base for over 20 years.
Knowledge of social media could enhance future growth opportunities. Coupons and direct mail with local publications.
Additional Info
The company was established in 1998, making the business 24 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons people decide to sell operating businesses. Nonetheless, the real reason vs the one they say to you may be 2 entirely different things. For instance, they may claim "I have too many various commitments" or "I am retiring". For lots of sellers, these factors stand. But also, for some, these might simply be reasons to try to conceal the reality of altering demographics, increased competitors, recent decrease in profits, or a variety of other factors. This is why it is extremely vital that you not depend absolutely on a seller's word, however instead, use the seller's solution in conjunction with your general due diligence. This will repaint a more realistic picture of the business's existing scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your deal. Many companies finance loans with the purpose of covering items like supplies, payroll, accounts payable, and so on. Keep in mind that in some cases this can suggest that revenue margins are too thin. Numerous businesses fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future commitments to think about. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with vendors that must be met or might result in penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location attract new clients? Many times, operating businesses have repeat customers, which develop the core of their everyday profits. Particular variables such as new competition sprouting up around the area, road construction, and personnel turn over can influence repeat consumers and also negatively influence future incomes. One important point to take into consideration is the location of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Certainly, the more people that see the business regularly, the better the opportunity to develop a returning consumer base. A last idea is the general location demographics. Is the business placed in a largely inhabited city, or is it located on the outskirts of town? Exactly how might the local typical house income influence future income potential?
