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. Since they started running radio ads in August, their monthly revenues have increased by 15-20% per month. The business is on linearity to generate $380K-$400K in SDE in 2021.

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. The husband of the couple is 75 years old, has health problems, and wishes to retire.

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.
Detailed Information.

Financial

  • Asking Price: $1,000,000
  • Cash Flow: $319,643
  • Gross Revenue: $2,112,643
  • EBITDA: $244,645
  • FF&E: $150,000
  • Inventory: $649,500
  • Inventory Included: N/A
  • Established: 2001

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:800,000
  • 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 available for purchase.

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:

Seller is 75 years old and wishes to retire.

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. Growth & Expansion:

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 business was started in 2001, making the business 21 years old.
The sale shall not include inventory valued at $649,500*, which ins't included in the asking price.

The company has 8 employees and is located in a building with estimated square footage of 800,000 sq ft.
The real estate is leased by the business for $6,500 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons individuals resolve to sell businesses. Nevertheless, the true factor and the one they say to you might be 2 completely different things. For instance, they may claim "I have a lot of various responsibilities" or "I am retiring". For many sellers, these factors are valid. But also, for some, these might just be justifications to attempt to hide the reality of transforming demographics, increased competition, recent decrease in earnings, or a range of other reasons. This is why it is extremely essential that you not depend totally on a seller's word, yet instead, make use of the vendor's solution combined with your total due diligence. This will paint a more reasonable picture of the business's existing situation.

Existing Debts and Future Obligations

If the current entity is in debt, which lots of businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Many operating businesses take out loans with the purpose of covering items such as inventory, payroll, accounts payable, and so on. Remember that sometimes this can mean that profit margins are too small. Numerous organisations fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future obligations to think about. There may be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with vendors that must be satisfied or may cause fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do companies in the area attract brand-new customers? Many times, businesses have repeat clients, which form the core of their everyday revenues. Specific factors such as new competition sprouting up around the area, road construction, and staff turn over can impact repeat clients as well as negatively impact future earnings. One vital point to consider is the placement of the business. Is it in a highly trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business on a regular basis, the better the chance to develop a returning consumer base. A last idea is the general area demographics. Is the business situated in a largely inhabited city, or is it located on the outskirts of town? How might the regional typical household earnings effect future income prospects?