Business Overview

Machine Shop in business more than 50 years. Long term established customers. Owner operated with one employee. Seller financing available. Office ID: ABB21046
Contact us via email at: sales@alpinebusinessbrokers.com or visit www.AlpineBusinessBrokers.com for more Utah businesses for sale. Real estate transactions brokered by Alpine Business Brokers, LLC

Financial

  • Asking Price: $235,000
  • Cash Flow: $117,159
  • Gross Revenue: $286,596
  • EBITDA: N/A
  • FF&E: $169,800
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 1962

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:1
  • Furniture, Fixtures and Equipment:N/A
Is Support & Training Included:

Seller will provide training during a reasonable transition period.

Purpose For Selling:

Retirement

Additional Info

The company was established in 1962, making the business 60 years old.

Why is the Current Owner Selling The Business?

There are all sorts of reasons why individuals decide to sell companies. However, the true factor vs the one they say to you may be 2 entirely different things. As an example, they might state "I have way too many other commitments" or "I am retiring". For lots of sellers, these factors stand. However, for some, these may just be reasons to try to conceal the reality of changing demographics, increased competitors, current reduction in revenues, or a variety of various other reasons. This is why it is very essential that you not count entirely on a vendor's word, however rather, use the seller's response in conjunction with your overall due diligence. This will repaint a much more sensible image of the business's existing scenario.

Existing Debts and Future Obligations

If the current entity is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Lots of businesses take out loans so as to cover items such as supplies, payroll, accounts payable, so on and so forth. Keep in mind that in some cases this can mean that revenue margins are too thin. Numerous 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 additionally be future commitments to think about. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with suppliers that must be satisfied or may cause fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the location attract new clients? Many times, operating businesses have repeat consumers, which develop the core of their day-to-day revenues. Specific elements such as brand-new competition growing up around the area, road building, and also personnel turnover can affect repeat consumers and adversely impact future profits. One important point to take into consideration is the area of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more people that see the business regularly, the greater the opportunity to build a returning consumer base. A last thought is the general location demographics. Is the business located in a densely populated city, or is it situated on the outskirts of town? How might the regional median household earnings effect future income prospects?