Business Overview

Sound, Event, Production, Service Company Established for over 42 years. Well known throughout The Northeast. Installation, design, service, production, coordinate total production, of the event. One stop company for all event needs. Owner retiring. Real Estate also available . Some owner financing to qualified buyer.

Financial

  • Asking Price: $1,100,000
  • Cash Flow: $240,000
  • Gross Revenue: N/A
  • EBITDA: N/A
  • FF&E: $500,000
  • Inventory: N/A
  • Inventory Included: Yes
  • Established: N/A
Is Support & Training Included:

4 weeks

Purpose For Selling:

retirement

Why is the Current Owner Selling The Business?

There are all kinds of reasons individuals choose to sell operating businesses. Nevertheless, the genuine reason and the one they tell you might be 2 absolutely different things. For instance, they may claim "I have too many other responsibilities" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these may simply be excuses to attempt to conceal the reality of transforming demographics, increased competitors, current decrease in revenues, or a range of other factors. This is why it is extremely vital that you not count completely on a seller's word, but rather, make use of the seller's answer along with your general due diligence. This will repaint an extra sensible picture of the business's current circumstance.

Existing Debts and Future Obligations

If the existing company is in debt, which lots of companies are, then you will have reason to consider this when valuating/preparing your deal. Numerous companies finance loans with the purpose of covering things like supplies, payroll, accounts payable, etc. Bear in mind that in some cases this can imply that earnings margins are too tight. Lots of companies come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may likewise be future obligations to take into consideration. There might be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with vendors that must be met or might lead to fines if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do businesses in the area bring in new clients? Most times, operating businesses have repeat consumers, which form the core of their day-to-day earnings. Certain aspects such as brand-new competitors growing up around the area, roadway construction, and also staff turnover can impact repeat consumers and adversely impact future revenues. One vital point to think about is the area of the business. Is it in a very trafficked shopping center, or is it hidden from the main road? Certainly, the more individuals that see the business often, the better the chance to develop a returning client base. A final thought is the basic area demographics. Is the business situated in a largely inhabited city, or is it located on the outskirts of town? Just how might the regional average family earnings influence future earnings prospects?