Business Overview

Prime location pizza shop open for 7 days a week with delivery and catering service is available for acquisition. This business was established in 2006 and was later acquired in late-2016 by the current owner. Most of the customers during lunch hours are upper-class employees from the nearby offices while dinner hours comprise of families living in the surrounding densely populated residential neighborhoods. Net sales average was $30,000/year that has been steadily increasing through online ordering service and delivery services. Although some marketing has been done online and through their website, other proactive marketing methods need to be fully utilized to generate more cash flow and acquire new customers from the surrounding untapped areas. Competition can be expected for this type of business industry, but this business provides a more affordable price point and delivers quick service whether individuals dine-in or have it delivered. There are many ways to proactively market this type of business such as direct mailing, social media outlets, catering service to large corporations, adjust the current menu, 3rd party delivery service, and hiring a manager to manage the daily operations. Placing a manager in place of the owner will be extremely beneficial to the business as the owner will be able to focus on marketing the business and keeping the quality of the menu consistent. This business has everything in place for a potential buyer to proactively market this business while being fully involved in the day-to-day business operations.

Listing ID #001041
For more info, please call Stephen Lee at 1-866-519-2421.

Financial

  • Asking Price: $175,000
  • Cash Flow: $60,000
  • Gross Revenue: $360,000
  • EBITDA: N/A
  • FF&E: $100,000
  • Inventory: $2,500
  • Inventory Included: Yes
  • Established: 2006

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:2
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

This business is located in a 2,150 SF retail strip center that is placed in the end-cap space of this area with an outside patio. All equipment is in impeccable condition and in working order.

Is Support & Training Included:

The owner of the business will provide the necessary training needed to smoothly transition into the business operation.

Purpose For Selling:

Burnt Out

Pros and Cons:

Few competitors are within the immediate market area, but this business provides a more affordable price point as well as providing quick service compared to the competition.

Opportunities and Growth:

Some marketing is done through online ordering and their website, but other proactive marketing methods need to be utilized to generate more cash flow and acquire new customers. Target more on the catering operation side of the business.

Additional Info

The venture was started in 2006, making the business 16 years old.
The deal does include inventory valued at $2,500, which is included in the requested price.

Why is the Current Owner Selling The Business?

There are all sorts of reasons individuals decide to sell companies. Nevertheless, the real reason and the one they tell you might be 2 entirely different things. For instance, they may state "I have way too many various obligations" or "I am retiring". For lots of sellers, these reasons stand. However, for some, these might simply be justifications to attempt to conceal the reality of changing demographics, increased competition, current reduction in profits, or a variety of other reasons. This is why it is really crucial that you not count absolutely on a seller's word, but instead, make use of the seller's solution in conjunction with your general due diligence. This will paint a much more realistic image of the business's present circumstance.

Existing Debts and Future Obligations

If the current company is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your offer. Numerous businesses take out loans so as to cover points such as supplies, payroll, accounts payable, and so on. Remember that sometimes this can suggest that revenue margins are too tight. Numerous businesses fall into 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 take into consideration. 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 satisfied or might result in penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do companies in the area attract brand-new customers? Often times, companies have repeat consumers, which create the core of their everyday earnings. Specific factors such as brand-new competitors sprouting up around the location, road construction, and also staff turnover can influence repeat clients and also adversely affect future profits. One vital point to think about is the location of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business regularly, the better the chance to build a returning consumer base. A last thought is the general area demographics. Is the business situated in a largely inhabited city, or is it situated on the outside border of town? How might the neighborhood mean family earnings impact future earnings prospects?