Business Overview

Priced to quick sell. Owner retiring after working there 20+ years. Fully equipment and long term and stable employees.

Financial

  • Asking Price: $79,000
  • Cash Flow: N/A
  • Gross Revenue: $600,000
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: $5,000
  • Inventory Included: N/A
  • Established: 1990

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:4
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Home Based

Purpose For Selling:

Owner retired after working 20+ years at this location

Home Based:

This Business Is Home Based

Additional Info

The business was founded in 1990, making the business 32 years old.
The deal won't include inventory valued at $5,000*, which ins't included in the listing price.

Why is the Current Owner Selling The Business?

There are all types of reasons why individuals decide to sell businesses. However, the real reason and the one they tell you might be 2 totally different things. As an example, they may say "I have too many various responsibilities" or "I am retiring". For many sellers, these factors are valid. However, for some, these might simply be justifications to try to hide the reality of changing demographics, increased competitors, current reduction in profits, or a variety of various other factors. This is why it is extremely vital that you not depend completely on a vendor's word, yet instead, utilize the seller's response combined with your overall due diligence. This will repaint a more reasonable image of the business's existing situation.

Existing Debts and Future Obligations

If the current entity is in debt, which numerous companies are, then you will certainly need to consider this when valuating/preparing your deal. Numerous operating businesses finance loans so as to cover points such as supplies, payroll, accounts payable, so on and so forth. Remember that in some cases this can imply that profit margins are too tight. Lots of businesses fall into a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may also be future obligations to consider. There may be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with suppliers that must be met or might lead to penalties if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the location draw in new customers? Many times, operating businesses have repeat clients, which create the core of their everyday earnings. Specific variables such as new competition sprouting up around the location, road building and construction, as well as personnel turnover can affect repeat clients and adversely impact future earnings. One essential point to take into consideration is the location of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Certainly, the more people that see the business often, the higher the opportunity to build a returning customer base. A final idea is the general area demographics. Is the business situated in a densely inhabited city, or is it situated on the edge of town? Exactly how might the local average home income impact future income potential?