Listing ID: 70207
45 year old commercial waterproofing company for sale. This company works on contracts from State agencies in the Midwest and railroads. Specifically, the contracts include highways, bridges, roads and tunnels. Inquiries are generated from existing bid lists with the States and railroads. Same owner has owned the business for the past 45 years.
- Asking Price: $450,000
- Cash Flow: $212,968
- Gross Revenue: $803,929
- EBITDA: N/A
- FF&E: $260,283
- Inventory: N/A
- Inventory Included: N/A
- Established: 1976
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
The company was established in 1976, making the business 46 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons people choose to sell businesses. Nevertheless, the true reason vs the one they tell you might be 2 absolutely different things. For instance, they might claim "I have a lot of various obligations" or "I am retiring". For many sellers, these reasons stand. However, for some, these might just be reasons to try to conceal the reality of changing demographics, increased competition, current reduction in revenues, or a variety of other factors. This is why it is extremely important that you not count totally on a vendor's word, yet instead, use the seller's solution along with your overall due diligence. This will repaint an extra realistic image of the business's present scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which many companies are, then you will need to consider this when valuating/preparing your deal. Many operating businesses borrow money with the purpose of covering things such as inventory, payroll, accounts payable, so on and so forth. Remember that in some cases this can imply that revenue margins are too small. Numerous companies come under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future commitments to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business might have existing contracts with suppliers that need to be fulfilled or might lead to fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area attract new clients? Most times, companies have repeat clients, which form the core of their everyday earnings. Certain elements such as brand-new competitors sprouting up around the area, road construction, and also staff turn over can affect repeat customers and negatively affect future profits. One crucial point to think about is the placement of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the main road? Certainly, the more people that see the business on a regular basis, the greater the chance to build a returning consumer base. A final idea is the general area demographics. Is the business placed in a largely populated city, or is it located on the edge of town? How might the regional mean house earnings impact future earnings potential?