Listing ID: 69940

Business Overview

We are exclusively offering a 41 year old commercial printing company for sale in Central IL. Business is run semi absentee with long term, experienced and reliable staff in place. This group of employees has managed the day to day operations of the business on their own since 2010. Operations are housed in a 5,400 square foot space and this offering includes the real estate.

All equipment is in good to excellent working condition and includes high volume offset printing, digital color printing, digital black & white printing, wide format, pre-press, bindery, network & digital file storage and an advanced print management software. This allows them to to cover all sorts of printing and marketing needs. They cover the basics like business cards, letterhead, envelopes, brochures, flyers and posters. They recently upgraded equipment to produce great looking banners and labels along with window, wall and vehicle graphics. Plus they can produce specialized forms such as laboratory mount sheets, business forms, school bus inspection books, and even custom cookbooks for fundraising and gifts!

Diverse customer base. No one customer represents more than 20% of gross sales. This is a small business, women-owned certified business which gives it an advantage over other printing companies. With sales in the $650,000 range, seller discretionary earnings (SDE) of $130,000, clean financials and exquisite record keeping, this company is poised for acquisition.

Financial

  • Asking Price: $650,000
  • Cash Flow: N/A
  • Gross Revenue: $649,000
  • EBITDA: $133,000
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: Yes
  • Established: N/A

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:Yes
  • Building Square Footage:5,400
  • Lot Size:N/A
  • Total Number of Employees:N/A
  • Furniture, Fixtures and Equipment:N/A

Why is the Current Owner Selling The Business?

There are all sorts of reasons why individuals decide to sell businesses. Nonetheless, the true reason vs the one they tell you might be 2 completely different things. For instance, they may say "I have a lot of other commitments" or "I am retiring". For lots of sellers, these factors are valid. But also, for some, these might just be justifications to attempt to conceal the reality of altering demographics, increased competition, recent reduction in incomes, or an array of other reasons. This is why it is very essential that you not rely entirely on a seller's word, but rather, utilize the seller's response together with your general due diligence. This will paint an extra realistic image of the business's current scenario.

Existing Debts and Future Obligations

If the current company is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your offer. Many businesses finance loans in order to cover items like supplies, payroll, accounts payable, etc. Bear in mind that sometimes this can indicate that earnings margins are too thin. Numerous organisations fall into a revolving door of taking on debt as a way to pay back various other loans. In addition to 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 met or might result in charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do operating businesses in the location bring in new consumers? Often times, businesses have repeat customers, which form the core of their daily profits. Specific elements such as new competition growing up around the area, roadway construction, and staff turnover can influence repeat clients and adversely influence future profits. One vital thing to take into consideration is the area of the business. Is it in a highly trafficked shopping mall, or is it concealed from the main road? Clearly, the more people that see the business often, the higher the opportunity to develop a returning consumer base. A final idea is the basic location demographics. Is the business situated in a densely populated city, or is it located on the outside border of town? How might the regional typical family income influence future earnings potential?