Listing ID: 67601
Unique opportunity to own an independent salon in Northern Virginia that’s been serving clients for 25 years. The owner and principal stylist provides the full suite of cutting, coloring, foiling, and related hair care services to a loyal clientele. The salon is situated in a prominent planned community on the banks of the Occoquan River that is in an ideal setting for a boutique hair salon.
The salon has seen steady and sustained growth in recent years. The development where the salon is located has grown exponentially since it was founded. The community caters to the younger professional demographic with the average age of around 40 with an annual income of $94,000. New houses, condos, and apartments continue to be constructed in and around the development. The greater Woodbridge/Lake Ridge/Occoquan market has been a source of significant expansion and economic growth in Northern Virginia in recent years which is expected to continue for many years to come.
The owner and founder has decided it’s time to retire after building and running this successful operation and wants to ensure her clients remain in good hands. This is the perfect opportunity for a salon owner looking to expand their footprint or for a stylist looking to set out on their own without the headaches and expenses of starting a salon from scratch. The combination of over two decades in business, a stellar reputation, and attractive lease terms in a prime location are hard to come by, so don’t let this opportunity pass you by and contact us today!
- Asking Price: $375,000
- Cash Flow: $75,000
- Gross Revenue: $127,079
- EBITDA: N/A
- FF&E: $5,000
- Inventory: $15,000
- Inventory Included: N/A
- Established: 1997
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:625
- Lot Size:N/A
- Total Number of Employees:1
- Furniture, Fixtures and Equipment:N/A
The salon is ideally situated on the main stretch of a mixed-use retail setting in a newer high-density community adjacent to the Occoquan River waterfront. There is a park nearby, a marina, and a dozen businesses at 100% occupancy. The space measures roughly 625 square feet and is an ideal size for a boutique salon concept. Hair Salon & Spa Data: Style Stations: 2 Color Stations: 2 Shampoo Bowls: 2 Dryers/Hair Processors: 1 Nail Stations: 1 Pedicure Stations: 1 Private Rooms for Massage & Spa Services: 1 It is the seller's preference to sell the business and real estate together, but the sellers are willing to enter into a long term lease for the space for $1,850/month + utilities. There can be a first option to buy the Real Estate later. Combined Business and Real Estate Price is $375,000. Business Only Price is $75,000.
Seller will provide 30 days of transitional training and support.
Owner is retiring after 25 years in business.
There is standard competition for the industry and market. This salon attracts a higher end clientele compared to competitors in close proximity to the business. The salon has an advantage over many competitors with its excellent reputation, established track record, and prime location.
There are many opportunities for a new owner to grow and expand the business. It would make sense to create a broader online presence and implement new marketing and advertising campaigns to increase awareness. A new owner might also consider bringing on additional stylists or offering new services to appeal to a broader demographic.
The venture was established in 1997, making the business 25 years old.
The deal won't include inventory valued at $15,000*, which ins't included in the listing price.
The business has 1 employees and resides in a building with estimated square footage of 625 sq ft.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people choose to sell companies. Nevertheless, the true reason vs the one they say to you might be 2 entirely different things. For instance, they might claim "I have a lot of other responsibilities" or "I am retiring". For lots of sellers, these reasons stand. But also, for some, these might just be reasons to attempt to conceal the reality of altering demographics, increased competitors, recent decrease in earnings, or a variety of various other reasons. This is why it is really important that you not rely absolutely on a seller's word, yet rather, use the vendor's answer along with your general due diligence. This will paint a more realistic image of the business's present scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which lots of businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Many companies take out loans with the purpose of covering items such as inventory, payroll, accounts payable, and so on. Keep in mind that occasionally this can suggest that earnings margins are too thin. Numerous organisations fall into a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future commitments to think about. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with suppliers that have to be met or might result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area draw in brand-new customers? Often times, businesses have repeat consumers, which form the core of their everyday profits. Specific elements such as brand-new competition growing up around the location, roadway building, as well as personnel turnover can impact repeat customers as well as negatively impact future incomes. One essential thing to take into consideration is the placement of the business. Is it in a highly trafficked shopping mall, or is it concealed from the main road? Obviously, the more individuals that see the business on a regular basis, the better the chance to build a returning consumer base. A final idea is the basic location demographics. Is the business situated in a densely populated city, or is it located on the edge of town? Just how might the local average home earnings impact future revenue potential?