Listing ID: 71362
For sale is a profitable, well-established and well-managed High-end Appliance, Vacuum Cleaner and Central Vacuum Dealer for Sale. Located in Eastern MA, this highly profitable business has well-furnished showrooms which highlight its diverse offerings from low-end/high-end vacuum cleaners and central vacuum systems to the most sophisticated Appliances.
In continuous operation for over 80 years, its current owner of over 30 years is now looking to retire. The owner wishes to have the business continue its excellent reputation with a suitable buyer. To help accomplish this, the owner will provide for the transfer of his knowledge and rapport with customers and suppliers during a transition period.
This is a confidential listing; so, in order to share the details you will be asked to sign a non-disclosure agreement.
- Asking Price: $130,000
- Cash Flow: $87,811
- Gross Revenue: $517,751
- EBITDA: N/A
- FF&E: N/A
- Inventory: $100,000
- Inventory Included: N/A
- Established: 1934
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:4,100
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
Two stores: One each in different cities
The seller will be available if needed to transition the business to buyer if needed.
The venture was established in 1934, making the business 88 years old.
The deal shall not include inventory valued at $100,000*, which ins't included in the requested price.
The company has 3 employees and is located in a building with disclosed square footage of 4,100 sq ft.
The real estate is leased by the company for $4,300 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons individuals resolve to sell businesses. However, the real factor vs the one they say to you might be 2 totally different things. For instance, they might claim "I have too many various commitments" or "I am retiring". For many sellers, these reasons are valid. However, for some, these might just be reasons to attempt to hide the reality of transforming demographics, increased competition, current reduction in profits, or an array of other factors. This is why it is really crucial that you not depend completely on a seller's word, but rather, use the vendor's solution in conjunction with your total due diligence. This will paint an extra practical image of the business's present circumstance.
Existing Debts and Future Obligations
If the current company is in debt, which lots of companies are, then you will need to consider this when valuating/preparing your offer. Lots of operating businesses finance loans with the purpose of covering points like stock, payroll, accounts payable, and so on. Remember that sometimes this can indicate that profit margins are too tight. Lots of organisations come under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may also be future obligations to consider. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with suppliers that need to be met or might cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the area draw in brand-new customers? Most times, companies have repeat customers, which form the core of their day-to-day earnings. Specific aspects such as new competition sprouting up around the location, roadway building and construction, and staff turnover can affect repeat clients and also adversely impact future incomes. One crucial point to consider is the placement of the business. Is it in an extremely trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more people that see the business often, the better the chance to develop a returning customer base. A final idea is the basic area demographics. Is the business placed in a densely inhabited city, or is it located on the edge of town? Exactly how might the local median household income effect future income prospects?