Business Overview

Well established business that has been open for decades has just hit the market. Very profitable with several ways to increase sales and profit. Original owner. 20 seats. Loyal following with multi generations of customers. Baking desserts and full cakes, serving coffee and espresso. Profits have grown in the past few years, last year was $94,000. Great opportunity! Contact listing broker for more confidential information. Will not last long

Financial

  • Asking Price: $130,000
  • Cash Flow: $94,000
  • Gross Revenue: $313,000
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: $3,000
  • Inventory Included: N/A
  • Established: 1982

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:5
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Bakery with Baker's kitchen and retail seating

Is Support & Training Included:

1 week free

Purpose For Selling:

Retirement

Pros and Cons:

Sales continue to increase despite covid restrictions, not a lot of competition nearby or in the city in general for this type of product

Opportunities and Growth:

Can grow business in several ways: could take on more orders, could add delivery, open additional locations, prices haven't been increased in a long time, could open in the morning, could be open 7 days... May be possible to add outdoor seating...

Additional Info

The venture was established in 1982, making the business 40 years old.
The transaction won't include inventory valued at $3,000*, which ins't included in the asking price.

The company has 5 employees and is situated in a building with approx. square footage of N/A sq ft.
The building is leased by the company for $0.00

Why is the Current Owner Selling The Business?

There are all kinds of reasons why individuals decide to sell companies. However, the genuine factor and the one they tell you may be 2 totally different things. As an example, they may state "I have too many other obligations" or "I am retiring". For lots of sellers, these reasons are valid. But, for some, these might just be justifications to attempt to hide the reality of transforming demographics, increased competition, current decrease in incomes, or a variety of various other reasons. This is why it is really essential that you not depend absolutely on a vendor's word, yet rather, use the vendor's answer combined with your overall due diligence. This will repaint a more realistic image of the business's present situation.

Existing Debts and Future Obligations

If the current entity is in debt, which many businesses are, then you will certainly need to consider this when valuating/preparing your offer. Numerous companies take out loans with the purpose of covering points like supplies, payroll, accounts payable, and so on. Keep in mind that occasionally this can suggest that earnings margins are too tight. Lots of organisations fall under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may also be future commitments to consider. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with vendors that have to be fulfilled or may lead to charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do businesses in the location bring in new customers? Most times, operating businesses have repeat clients, which create the core of their daily earnings. Specific factors such as brand-new competitors sprouting up around the area, road building, as well as employee turnover can influence repeat consumers as well as negatively affect future incomes. One crucial point to think about is the location of the business. Is it in a very 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 idea is the general area demographics. Is the business located in a largely populated city, or is it situated on the outside border of town? Just how might the local typical house earnings influence future income prospects?