Listing ID: 71219
Price reduced, High volume Breakfast, lunch restaurant. Established 18 years same location. Owner retiring. Open 7 days. Located in providence R.I. Located on a corner and a busy intersection. In a busy area, schools, business etc.. New ownership can take sales to a another level. Turn key full staff in place. Owner financing available to qualified buyer.
Established 18 years in the same location.
Great location, corner location, at a stop light, extremely busy street. Local customers and unique menu.
New ownership, new energy, extend hour of operation. Offer catering to local business, and schools.
- Asking Price: $195,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2003
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:12
- Furniture, Fixtures and Equipment:N/A
The business was established in 2003, making the business 19 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals choose to sell businesses. Nevertheless, the genuine factor vs the one they say to you might be 2 completely different things. For instance, they may state "I have way too many other responsibilities" or "I am retiring". For many sellers, these reasons stand. But, for some, these might just be reasons to try to conceal the reality of altering demographics, increased competitors, recent decrease in revenues, or a variety of various other factors. This is why it is extremely vital that you not rely completely on a seller's word, but instead, use the seller's response in conjunction with your total due diligence. This will repaint a much more practical picture of the business's current scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your deal. Numerous operating businesses borrow money in order to cover points such as supplies, payroll, accounts payable, etc. Keep in mind that sometimes this can indicate that earnings margins are too tight. Many businesses 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 obligations to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with vendors 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 bring in brand-new customers? Most times, companies have repeat consumers, which develop the core of their everyday profits. Particular elements such as brand-new competitors growing up around the area, road construction, as well as staff turnover can impact repeat customers and also negatively affect future earnings. One vital thing to consider is the placement of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the main road? Clearly, the more people that see the business often, the better the possibility to build a returning customer base. A final thought is the general area demographics. Is the business located in a densely populated city, or is it located on the outside border of town? How might the local average home earnings effect future income potential?