Listing ID: 71336
An incredible opportunity to own a renowned and longstanding meat wholesale business. The company has been suppling the finest meat products to some of the most known restaurants in the greater Boston area for the past 36 years. The company has built its business’ reputation on providing the freshest and best quality product in the industry. The business operates out of a state-of-the-art 8,000 sf facility, which has multiple reirrigate storage spaces, a refrigerated production area, as well as a two-story freezer which has been newly updated. The second floor of the building is currently being leased to another company but could serve as an additional space for the growing the business. The current facility only operating at 50% capacity, with many opportunities for growth for the new owners. The business maintains a wide variety of customers, with no single customer representing a majority share of revenue. The business has grown steadily in 2021 during the pandemic and is positioned for additional growth with the new owners. The seller is ready to retire and is looking to pass on this incredible opportunity to the next owner.
- Asking Price: $3,000,000
- Cash Flow: $415,781
- Gross Revenue: $4,002,319
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2005
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:7,778
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Industrial area. The building is 7,778 sf, two story masonry and steel framed building, on 13,847 sf of land.
Owner will assist in a smooth transition.
The company was founded in 2005, making the business 17 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals resolve to sell businesses. However, the true reason and the one they tell you might be 2 completely different things. As an example, they may claim "I have a lot of various commitments" or "I am retiring". For many sellers, these reasons are valid. But also, for some, these may simply be excuses to try to conceal the reality of changing demographics, increased competitors, recent reduction in revenues, or an array of various other factors. This is why it is very important that you not depend totally on a seller's word, yet instead, make use of the seller's solution combined with your total due diligence. This will paint an extra sensible image of the business's present scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which lots of businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Many businesses borrow money with the purpose of covering items like supplies, payroll, accounts payable, and so on. Keep in mind that in some cases this can indicate that revenue margins are too tight. Numerous companies fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future commitments to consider. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing contracts with vendors that need to be fulfilled or may lead to charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area bring in brand-new consumers? Many times, companies have repeat consumers, which form the core of their daily profits. Certain elements such as brand-new competitors sprouting up around the location, roadway building, and also personnel turnover can impact repeat clients and adversely affect future incomes. One vital thing to take into consideration is the location of the business. Is it in a highly trafficked shopping center, or is it hidden from the main road? Clearly, the more people that see the business often, the better the chance to develop a returning consumer base. A final idea is the basic location demographics. Is the business situated in a largely inhabited city, or is it located on the outskirts of town? How might the neighborhood mean home earnings influence future earnings prospects?