Business Overview

The business and equipment are RELOCATABLE without disrupting the business. This business is a niche manufacturer of power supply products. It has been selling to utility companies and distributers for over 50 years. Year over year growth makes this a good opportunity for an existing manufacturer to bolt on an additional revenue stream. This would also be a strong opportunity for a first-time business owner to take advantage of the consistent, long-term customers.

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  • Asking Price: $245,000
  • Cash Flow: $89,700
  • Gross Revenue: $143,400
  • FF&E: $121,727
  • Inventory: $11,283
  • Inventory Included: Yes
  • Established: N/A

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
About The Facility:

6,250 SF in a commercial building

Is Support & Training Included:

3-weeks included

Purpose For Selling:

Other Business Interest

Additional Info

The sale does include inventory valued at $11,283, which is included in the requested price.

Why is the Current Owner Selling The Business?

There are all sorts of reasons why individuals resolve to sell companies. Nonetheless, the genuine factor vs the one they tell you may be 2 entirely different things. As an example, they might claim "I have too many other obligations" or "I am retiring". For lots of sellers, these reasons are valid. However, for some, these might simply be justifications to attempt to conceal the reality of changing demographics, increased competition, recent reduction in revenues, or a variety of other reasons. This is why it is very important that you not depend entirely on a vendor's word, however rather, make use of the seller's answer in conjunction with your general due diligence. This will paint a much more realistic picture of the business's existing circumstance.

Existing Debts and Future Obligations

If the existing entity is in debt, which numerous companies are, then you will have reason to consider this when valuating/preparing your offer. Numerous businesses finance loans with the purpose of covering items such as stock, payroll, accounts payable, etc. Bear in mind that occasionally this can indicate that revenue margins are too thin. Many companies fall into a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may likewise be future commitments to think about. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing agreements with suppliers that need to be met or may result in fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the location bring in new consumers? Often times, operating businesses have repeat consumers, which develop the core of their day-to-day profits. Particular variables such as new competitors sprouting up around the location, roadway building and construction, as well as staff turnover can influence repeat consumers and negatively affect future earnings. One crucial point to take into consideration is the location of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Obviously, the more people that see the business on a regular basis, the higher the possibility to develop a returning customer base. A final idea is the basic location demographics. Is the business situated in a largely populated city, or is it located on the outskirts of town? How might the local average family earnings influence future revenue prospects?