Listing ID: 69936
This is the perfect opportunity for someone who appreciates the finer things in life and is interested in working directly with customers to find, sell, and create beautiful, often-unique pieces. In operation for over 30 years, this business is well-known and respected in the area, providing a wide selection of existing jewelry and quality craftsmanship in repairing and manufacturing.
- Asking Price: $195,000
- Cash Flow: $140,452
- Gross Revenue: $897,875
- EBITDA: N/A
- FF&E: $94,164
- Inventory: $21,424
- Inventory Included: Yes
- Established: 1987
- 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
This jewelry store operates within a busy shopping center in a highly-trafficked area. The facility includes a large, well-lit showroom with several display cases. In addition to the showroom, there are two separate areas - an office and a workshop. All equipment in the workshop is functional and well-maintained and is used to manufacture and repair high-quality pieces for the store's customers.
Will train for 4 weeks @ $0 cost. While not required, a background in the jewelry industry or basic training in jewelry manufacturing and repair would be helpful. An individual with this knowledge could also be hired to handle the manufacturing and repair side of the business. Other helpful skills include basic business knowledge and sales experience.
After an extensive career in the industry, both owners are retiring.
There are a number of jewelry stores in the area, both local and larger chain stores.
At this time, the Company does not have any online or social media presence. Additionally, a couple of new pieces of equipment would improve overall efficiency and modernization of the store.
The venture was established in 1987, making the business 35 years old.
The sale does include inventory valued at $21,424, which is included in the suggested price.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals resolve to sell businesses. Nevertheless, the real factor and the one they say to you might be 2 totally different things. For instance, they might claim "I have way too many other responsibilities" or "I am retiring". For lots of sellers, these factors stand. But also, for some, these might simply be reasons to try to conceal the reality of transforming demographics, increased competition, recent decrease in earnings, or an array of other factors. This is why it is extremely important that you not depend absolutely on a vendor's word, but instead, utilize the seller's solution in conjunction with your total due diligence. This will paint a more practical image of the business's existing scenario.
Existing Debts and Future Obligations
If the existing company is in debt, which numerous companies are, then you will have reason to consider this when valuating/preparing your offer. Many companies finance loans with the purpose of covering points such as inventory, payroll, accounts payable, so on and so forth. Remember that sometimes this can indicate that profit margins are too small. Lots of organisations come under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may additionally be future obligations to consider. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with suppliers that need to be met or may lead to fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the area bring in brand-new customers? Most times, businesses have repeat consumers, which create the core of their daily revenues. Certain variables such as new competitors sprouting up around the location, roadway building, as well as personnel turnover can impact repeat consumers and negatively impact future earnings. One essential thing to think about is the location of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Certainly, the more people that see the business on a regular basis, the better the possibility to develop a returning customer base. A final thought is the basic location demographics. Is the business located in a largely populated city, or is it located on the edge of town? Exactly how might the neighborhood mean family earnings effect future revenue prospects?