Listing ID: 67665
Asian restaurant for sale in a busy shopping center located on a main road in Fredericksburg. This restaurant serves some of the best pho & Vietnamese food in the area. Excellent build out with large kitchen and high end equipment. This restaurant needs a new hands on owner and is a great opportunity to bring your own menu to this turn key location. Must see!!
Term: 2.5 years plus 5 year option
Size: 3,500 sf
- Asking Price: $169,000
- Cash Flow: N/A
- Gross Revenue: $500,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2020
- 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
The venture was established in 2020, making the business 2 years old.
Why is the Current Owner Selling The Business?
There are all sorts of reasons people choose to sell operating businesses. Nevertheless, the true reason vs the one they tell you may be 2 entirely different things. For instance, they might claim "I have a lot of other obligations" or "I am retiring". For lots of sellers, these reasons stand. However, for some, these might simply be reasons to attempt to hide the reality of altering demographics, increased competition, recent decrease in profits, or an array of various other reasons. This is why it is extremely vital that you not rely absolutely on a seller's word, yet rather, make use of the vendor's solution along with your general due diligence. This will repaint an extra sensible picture of the business's present situation.
Existing Debts and Future Obligations
If the current company is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your offer. Many companies take out loans with the purpose of covering items like stock, payroll, accounts payable, etc. Remember that occasionally this can indicate that revenue margins are too small. Numerous companies fall under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may also be future commitments to consider. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with suppliers that need to be met or might cause fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the location draw in new consumers? Often times, companies have repeat customers, which form the core of their day-to-day earnings. Specific aspects such as brand-new competition sprouting up around the location, roadway building and construction, and personnel turnover can impact repeat customers and adversely impact future incomes. One essential thing to consider is the location of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Obviously, the more people that see the business often, the greater the possibility to construct a returning client base. A final idea is the general location demographics. Is the business located in a densely inhabited city, or is it located on the outskirts of town? How might the neighborhood typical house earnings effect future revenue prospects?