Listing ID: 71289
A long-established, full-service restaurant which seats about 56 diners.
Great location with plenty of on-site parking.
Full liquor license.
Menu is mostly classic Italian dishes with a contemporary flair.
Turnkey operation with long-time clients.
Favorable lease terms.
- Asking Price: $139,900
- Cash Flow: $169,900
- Gross Revenue: $388,568
- EBITDA: N/A
- FF&E: N/A
- Inventory: $5,000
- Inventory Included: Yes
- Established: 2000
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,660
- Lot Size:N/A
- Total Number of Employees:4
- Furniture, Fixtures and Equipment:N/A
Property will convey with all kitchen equipment, cash registers, bar supplies and coolers, tap system. Liquor inventory will be priced at wholesale value at time of closing and not included in sales price.
Owner will stay on and train the new operator and share recipes which are a staple of his business. Seventy percent of the business is credit card use.
Owner is ready to retire and has other business interests.
Set near the North Providence border there is little to no competition in his price point. Business has reasonable drink and entree prices. The restaurant has a long-time, loyal following of repeat clients and patrons.
The growth is endless for this location. Additional income could be increased by adding a lunch menu. Coupon and delivery services could also increase revenue and sales.
The venture was established in 2000, making the business 22 years old.
The sale does include inventory valued at $5,000, which is included in the suggested price.
The company has 4 employees and is located in a building with estimated square footage of 1,660 sq ft.
The property is leased by the business for $1,600 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people decide to sell operating businesses. Nonetheless, the real reason and the one they tell you might be 2 entirely different things. For instance, they might say "I have way too many other obligations" or "I am retiring". For many sellers, these factors are valid. But also, for some, these might simply be justifications to attempt to hide the reality of changing demographics, increased competitors, recent decrease in incomes, or a range of other reasons. This is why it is extremely essential that you not rely totally on a seller's word, yet instead, use the vendor's response in conjunction with your general due diligence. This will repaint a much more reasonable image of the business's present circumstance.
Existing Debts and Future Obligations
If the current company is in debt, which many businesses are, then you will need to consider this when valuating/preparing your deal. Numerous businesses take out loans with the purpose of covering things such as supplies, payroll, accounts payable, so on and so forth. Keep in mind that occasionally this can imply that revenue margins are too thin. Numerous organisations come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may additionally be future obligations to think about. There might be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with suppliers that need to be satisfied or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area attract brand-new clients? Most times, companies have repeat customers, which develop the core of their day-to-day revenues. Particular aspects such as brand-new competitors sprouting up around the area, roadway building and construction, and employee turnover can impact repeat clients and negatively influence future revenues. One important point to consider is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Certainly, the more people that see the business on a regular basis, the higher the possibility to construct a returning customer base. A final thought is the general location demographics. Is the business located in a largely populated city, or is it situated on the outskirts of town? Exactly how might the local typical home income impact future revenue prospects?