Listing ID: 70261
Business Overview
A reputable and highly profitable storage shed business is now for sale. Highlights include:
– Family owned business that ships sheds to 10 states in the eastern US
– Vast customer base that spans residential and commercial accounts
– Great name & brand recognition.
– Vertically integrated, including advertising, sales, manufacturing, delivery and service. Including in-house door and truss manufacturing, in-house paint bay, in house roofing assembly.
– State of the art, shed design app, including “Amazon-like” self checkout and configuration.
– Millions of dollars in “guaranteed financing for anyone with ID”. No recourse on all funding. 100% payment within about 7 days of delivery, no factoring.
– Modern, efficient and organized facilities built and adapted from actual experience and work flow.
– The company has averaged over $3M in annual sales the past three years with an EBITDA in excess of $1.2M.
Business has been pre-approved for an SBA loan with a qualified buyer.
Financial
- Asking Price: $4,225,000
- Cash Flow: $1,232,495
- Gross Revenue: $2,803,028
- EBITDA: N/A
- FF&E: $1,000,000
- Inventory: N/A
- Inventory Included: Yes
- Established: N/A
Detailed Information
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Location: this business is conveniently located to numerous important commercial and industrial hubs, major airports and interstates. Real estate is available but not included in the asking price.
Retirement
You will find other small ‘mom and pop’ similar businesses but little competition at the scale of this company.
There are a few strategies for growth a new owner could employ. Seller has fine-tuned an advertising campaign that can be turned down when business gets backed up. If you hire more staff, keep the campaign rolling with greater revenues. Additionally, this concept could be franchised with a great name and process in place to roll out in other markets.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals decide to sell businesses. However, the genuine factor and the one they say to you may be 2 absolutely different things. As an example, they may claim "I have way too many various responsibilities" or "I am retiring". For many sellers, these reasons stand. But, for some, these may just be excuses to attempt to hide the reality of changing demographics, increased competition, recent decrease in revenues, or a range of various other factors. This is why it is really vital that you not count completely on a seller's word, however rather, utilize the vendor's answer along with your overall due diligence. This will repaint a much more reasonable image of the business's existing situation.
Existing Debts and Future Obligations
If the existing company is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your offer. Many companies take out loans so as to cover points like stock, payroll, accounts payable, and so on. Bear in mind that sometimes this can indicate that revenue margins are too thin. Many businesses fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may also be future obligations to consider. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that have to be satisfied or might result in charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the area bring in brand-new customers? Many times, operating businesses have repeat customers, which form the core of their day-to-day revenues. Particular elements such as new competition sprouting up around the area, road construction, and also personnel turn over can affect repeat clients and also adversely impact future profits. One crucial point to take into consideration is the area of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Clearly, the more people that see the business regularly, the greater the possibility to develop a returning client base. A final thought is the general location demographics. Is the business placed in a largely inhabited city, or is it located on the edge of town? Exactly how might the local median house earnings effect future revenue prospects?
