Listing ID: 67357
Furniture, pickup and with white glove delivery service in Northern Virginia. This is a warehouse and deliver with white glove service for Designers and Realtors. It is used for staging property and retailing. The only full time delivery service in the Washington Metro area. The owner is retiring.
Owner started the business in 1988 and continued to grow. In the last several years he has turned clients down because he is not willing to add additional warehouse space due to wanting to retire. Business slowed in 2020.
The only full time white glove deliver service in the area.
Add additional trucks, the client is turning down work because of the limited size of the warehouse and he is retiring. With very little effort additional income can be developed by adding new labor and storage space.
- Asking Price: $450,000
- Cash Flow: $50,000
- Gross Revenue: $434,981
- EBITDA: N/A
- FF&E: N/A
- Inventory: $5,000
- Inventory Included: N/A
- Established: 1988
- 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
The business was started in 1988, making the business 34 years old.
The transaction won't include inventory valued at $5,000*, which ins't included in the suggested price.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals decide to sell companies. However, the genuine factor vs the one they tell you may be 2 totally different things. For instance, they might state "I have a lot of various responsibilities" or "I am retiring". For numerous sellers, these factors are valid. However, for some, these might just be justifications to try to conceal the reality of changing demographics, increased competitors, recent reduction in revenues, or a range of other reasons. This is why it is really essential that you not rely completely on a seller's word, but rather, utilize the vendor's answer along with your total due diligence. This will paint a much more realistic image of the business's existing circumstance.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your offer. Lots of operating businesses finance loans in order to cover items like supplies, payroll, accounts payable, so on and so forth. Keep in mind that in some cases this can mean that profit margins are too tight. Many businesses come under a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may also be future obligations to consider. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with vendors that should be satisfied or may cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the location attract new consumers? Often times, operating businesses have repeat customers, which create the core of their day-to-day profits. Particular aspects such as brand-new competitors sprouting up around the area, roadway building and construction, and personnel turnover can affect repeat customers as well as adversely influence future revenues. One essential point to take into consideration is the location of the business. Is it in a highly trafficked shopping mall, or is it hidden from the main road? Undoubtedly, the more individuals that see the business on a regular basis, the greater the chance to construct a returning client base. A last thought is the basic area demographics. Is the business situated in a largely inhabited city, or is it situated on the edge of town? How might the local average family income effect future earnings potential?