Listing ID: 70236
This well-known waterfront restaurant boasts tons of square-footage and offers lots of outdoor dining space, too. Lots of equipment and leasehold updates and a loyal client base make this a unique opportunity.
While there are many restaurants in Knoxville, there are only a few that are comparable competitors to this restaurant.
The business enjoys a seasonal boom, and the slower part of the years offers opportunities for events and group sales.
Freestanding building with large outdoor patio.
- Asking Price: $450,000
- Cash Flow: $146,212
- Gross Revenue: $503,642
- EBITDA: N/A
- FF&E: $100,000
- Inventory: $15,000
- Inventory Included: Yes
- Established: 2012
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:5,000
- Lot Size:N/A
- Total Number of Employees:25
- Furniture, Fixtures and Equipment:N/A
The company was started in 2012, making the business 10 years old.
The transaction does include inventory valued at $15,000, which is included in the requested price.
The company has 25 employees and is located in a building with disclosed square footage of 5,000 sq ft.
The property is leased by the business for $2,725 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons individuals choose to sell businesses. However, the genuine factor and the one they say to you may be 2 totally different things. For instance, they may state "I have a lot of various commitments" or "I am retiring". For lots of sellers, these factors stand. But, for some, these might simply be excuses to attempt to hide the reality of altering demographics, increased competition, current reduction in earnings, or a range of various other reasons. This is why it is extremely important that you not rely entirely on a vendor's word, yet instead, utilize the seller's answer along with your total due diligence. This will repaint an extra sensible picture of the business's existing situation.
Existing Debts and Future Obligations
If the current company is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your offer. Lots of operating businesses take out loans so as to cover items such as inventory, payroll, accounts payable, and so on. Bear in mind that sometimes this can suggest that profit margins are too thin. Many organisations fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may also be future commitments to think about. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with suppliers that have to be met or might lead to fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the area draw in brand-new clients? Often times, companies have repeat customers, which form the core of their daily earnings. Certain aspects such as new competitors sprouting up around the location, roadway building, and also employee turn over can influence repeat clients and negatively influence future incomes. One essential thing to think about is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Certainly, the more individuals that see the business regularly, the better the opportunity to develop a returning consumer base. A last idea is the general location demographics. Is the business situated in a largely inhabited city, or is it situated on the edge of town? Just how might the local typical household income effect future income prospects?