Business Overview

This longstanding restaurant is having it’s best year on record!

Financial

  • Asking Price: $795,000
  • Cash Flow: $240,000
  • Gross Revenue: $2,000,000
  • EBITDA: $24,000
  • FF&E: N/A
  • Inventory: $15,000
  • Inventory Included: Yes
  • Established: N/A

Detailed Information

  • Property Owned or Leased:Own
  • 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:

Highly successful dine-in restaurant with limited competitive set in area. Please submit a request for more information due to the highly confidential nature of this listing.

Is Support & Training Included:

Owner will provide full transitional support.

Additional Info

The sale does include inventory valued at $15,000, which is included in the listing price.

Why is the Current Owner Selling The Business?

There are all types of reasons people resolve to sell companies. Nevertheless, the genuine reason and the one they say to you may be 2 totally different things. As an example, they may claim "I have way too many various obligations" or "I am retiring". For lots of sellers, these reasons are valid. But also, for some, these might simply be excuses to attempt to conceal the reality of altering demographics, increased competitors, recent reduction in profits, or an array of other factors. This is why it is really crucial that you not depend completely on a seller's word, but instead, utilize the seller's answer along with your general due diligence. This will paint a much more practical image of the business's present scenario.

Existing Debts and Future Obligations

If the existing company is in debt, which lots of companies are, then you will have reason to consider this when valuating/preparing your deal. Numerous businesses finance loans in order to cover points such as stock, payroll, accounts payable, so on and so forth. Keep in mind that occasionally this can indicate that earnings margins are too thin. Many businesses come under a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may additionally be future obligations to consider. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that must be fulfilled or may result in fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do operating businesses in the location draw in new clients? Many times, companies have repeat consumers, which form the core of their day-to-day earnings. Particular factors such as new competitors sprouting up around the location, road building, and personnel turnover can influence repeat consumers and negatively affect future profits. One crucial point to think about is the placement of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Undoubtedly, the more individuals that see the business on a regular basis, the higher the opportunity to build a returning consumer base. A last idea is the basic area demographics. Is the business placed in a largely inhabited city, or is it located on the outskirts of town? Exactly how might the regional average house income influence future income potential?