Business Overview

Beloved local institution, popular with locals, students, and tourists alike. Upscale, American fare with a modern twist. Consistently producing about $700,000 in sales annually.

Located in a historic, bustling downtown in the western foothills of Virginia’s Blue Ridge Mountains, in close proximity to two major universities.

Financial

  • Asking Price: $250,000
  • Cash Flow: $102,000
  • Gross Revenue: $636,000
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2003

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

HUGE, well-equipped and well-maintained kitchen. Approx 65 seats

Is Support & Training Included:

Seller would train new owners to ensure a smooth transition.

Purpose For Selling:

Retirement

Opportunities and Growth:

Currently, the restaurant operates 5 days a week, only dinner. It has a solid history pre-covid of running solid brunch and lunch programs, and that could be reintroduced easily. While they have developed a good take-out following, that could be enhanced further, and introduce catering -- which they get lots of requests for, but don't do at all.

Additional Info

The business was started in 2003, making the business 19 years old.

Why is the Current Owner Selling The Business?

There are all types of reasons people choose to sell operating businesses. However, the genuine reason and the one they say to you may be 2 entirely different things. As an example, they may say "I have a lot of various commitments" or "I am retiring". For lots of sellers, these factors are valid. However, for some, these might just be justifications to try to conceal the reality of altering demographics, increased competitors, current decrease in earnings, or an array of various other reasons. This is why it is very crucial that you not count totally on a seller's word, yet rather, use the vendor's response together with your overall due diligence. This will paint an extra 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 deal. Numerous operating businesses finance loans with the purpose of covering items such as supplies, payroll, accounts payable, etc. Keep in mind that sometimes this can indicate that profit margins are too small. Lots of businesses fall under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may also be future obligations to take into consideration. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with vendors that have to be satisfied or may result in fines if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do operating businesses in the area attract new customers? Often times, businesses have repeat consumers, which develop the core of their everyday revenues. Specific elements such as brand-new competition growing up around the location, roadway building, as well as employee turnover can influence repeat clients as well as negatively influence future incomes. One vital thing to consider is the area of the business. Is it in a highly trafficked shopping center, or is it hidden from the highway? Obviously, the more people that see the business often, the greater the chance to build a returning customer base. A final idea is the general area demographics. Is the business located in a largely populated city, or is it located on the outskirts of town? How might the local typical house income influence future income potential?