Business Overview

This is a fantastic location for this Christian based daycare facility! It is situated in a stand-alone building (real estate included in sale) on a very busy road in a popular south Houston suburb. Additional land to expand is also included! Licensed for 97 children 6 weeks to 13 years with 48 currently enrolled, NCI/Workforce and Food program are both offered. 3 buses that pickup and drop off at 9 local elementary schools (and one other school picks up and drops off at their location) are included in sales price. They use Procare to run daycare and tenured staff use Abeka curriculum to teach the children. They have a wait list of children to enroll. Owner/Director is ready to retire. Please refer to CBB Listing #8279MB

Financial

  • Asking Price: $775,000
  • Cash Flow: $40,849
  • Gross Revenue: $296,769
  • EBITDA: N/A
  • FF&E: $108,000
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 1994

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:Yes
  • Building Square Footage:4,115
  • Lot Size:N/A
  • Total Number of Employees:4
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

2 bldgs. - (1) 2715SF and (1) 1440SF

Is Support & Training Included:

Seller will train

Purpose For Selling:

Owners are divesting to focus on other business opportunities.

Opportunities and Growth:

Hire additional staff; expand facility; recruit NCI clients

Additional Info

The company was established in 1994, making the business 28 years old.

The company has 4ft; 4pt employees and is located in a building with disclosed square footage of 4,115 sq ft.

Why is the Current Owner Selling The Business?

There are all sorts of reasons why individuals decide to sell companies. However, the real factor and the one they say to you may be 2 totally different things. As an example, they may say "I have way too many various responsibilities" or "I am retiring". For many sellers, these reasons are valid. But, for some, these might just be reasons to attempt to hide the reality of changing demographics, increased competition, current decrease in incomes, or a range of other factors. This is why it is very essential that you not depend completely on a vendor's word, but rather, utilize the seller's response together with your general due diligence. This will repaint an extra realistic picture of the business's present circumstance.

Existing Debts and Future Obligations

If the existing company is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your offer. Numerous businesses borrow money in order to cover things such as inventory, payroll, accounts payable, etc. Bear in mind that sometimes this can mean that revenue margins are too tight. Many companies fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future obligations to think about. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that need to be fulfilled or may lead to penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do businesses in the location attract new clients? Often times, businesses have repeat clients, which develop the core of their everyday earnings. Particular aspects such as new competition growing up around the area, roadway building and construction, as well as personnel turn over can impact repeat clients and also adversely impact future revenues. One vital point to consider is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the main road? Obviously, the more people that see the business on a regular basis, the higher the opportunity to construct a returning client base. A last thought is the basic area demographics. Is the business located in a densely populated city, or is it situated on the edge of town? Exactly how might the regional average house income impact future earnings potential?