Business Overview

Currently Generating Very Strong Revenues/Cash Flow
We are pleased to present this mature, profitable, and well managed enterprise. It has boasted a strong track record of profitability, across its diverse fixture and product lines, for more than 20 years now. From its select handcrafted designs, which are made from the finest materials, coupled with its superb customer service, set this company apart from its peers. Its revenue mix is approximately 80% commercial or B2B, and 20% consumer.

This company shrugged off COVID-19 and has demonstrated growth of more than 4% during the pandemic year of 2020 and that growth continues into 2021, as well. YTD 2021 revenues are outpacing those of 2020 by over 13% during the same time frame. This business is well poised for new management as the sellers have decided to retire but are committed to staying on board, under negotiated terms, after closing, to ensure a successful transition to the buyer.

Be sure to ask us about the SBA’s (Small Business Administration) Low Interest Stimulus Financing on all business sales that are approved for financing, by 9/30/2021. And the SBA will even make the first three principal and interest payments on such new loans.

Financial

  • Asking Price: $2,870,000
  • Cash Flow: $319,645
  • Gross Revenue: $2,112,643
  • EBITDA: $244,645
  • FF&E: $359,227
  • Inventory: $450,000
  • Inventory Included: Yes
  • Established: N/A

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:Yes
  • Building Square Footage:8,000
  • Lot Size:N/A
  • Total Number of Employees:8
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

This business operates out of an attractive retail warehouse and spacious showroom which is valued at approximately $1.42M, which is included in the list price.

Is Support & Training Included:

Owners are willing to stay onboard at a negotiated rate, after closing to facilitate a smooth training and transition period for the buyer.

Purpose For Selling:

Retirement

Pros and Cons:

From all indications, this business is well positioned against its competitors but it would most certainly benefit from the growth and expansion inputs offered below.

Opportunities and Growth:

This business operates as a traditional in-person transaction retail environment. Potential growth vectors for this business includes online shopping capabilities and expansive social media exposure and marketing. A new website with SEO (Search Engine Optimization) would also likely enhance this business's financial performance.

Additional Info

The transaction does include inventory valued at $450,000, which is included in the listing price.

The business has 8 employees and is situated in a building with approx. square footage of 8,000 sq ft.

Why is the Current Owner Selling The Business?

There are all sorts of reasons individuals decide to sell companies. Nonetheless, the genuine factor and the one they say to you may be 2 entirely different things. For instance, they might claim "I have too many other obligations" or "I am retiring". For lots of sellers, these reasons are valid. But, for some, these might simply be reasons to try to conceal the reality of altering demographics, increased competition, recent decrease in profits, or a range of various other factors. This is why it is very important that you not rely entirely on a vendor's word, however instead, use the vendor's solution along with your general due diligence. This will paint an extra practical picture of the business's current circumstance.

Existing Debts and Future Obligations

If the existing company is in debt, which many companies are, then you will certainly need to consider this when valuating/preparing your deal. Lots of companies finance loans so as to cover points such as stock, payroll, accounts payable, etc. Bear in mind that in some cases this can imply that profit margins are too tight. Numerous organisations fall under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may also be future commitments to take into consideration. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that must be satisfied or might lead to penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do companies in the area draw in new customers? Many times, companies have repeat consumers, which form the core of their daily earnings. Particular aspects such as new competitors sprouting up around the area, roadway construction, as well as personnel turnover can influence repeat clients and also adversely affect future incomes. One vital thing to consider is the location of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Certainly, the more individuals that see the business often, the greater the chance to construct a returning customer base. A final thought is the basic area demographics. Is the business situated in a largely populated city, or is it situated on the outskirts of town? Exactly how might the regional average home earnings impact future earnings potential?