Listing ID: 71416
Excellent opportunity to buy a very profitable Pizza shop with a variety store. This business has been trending upwards, on average, at 13% year over year for the past 3 years. Just last year the exterior and the interior of the building, including the kitchen, were completely renovated. The new HVAC system and the ovens run on Natural Gas; it is extremely efficient! They have their own proprietary recipe for their pizza sauce, make their own dough and shred their own cheese. Additionally, they have an extensive menu. This is a takeout business and they have thrived right through the Covid times. They also have the added revenue of the Variety store and sell both Beer, Wine and Lottery Tickets. This would be a great business for a motivated individual, or couple, to buy and earn a nice income well making an excellent investment. It would also be a great addition for an investor that has like stores and means of expanding.
- Asking Price: $750,000
- Cash Flow: $300,000
- Gross Revenue: $1,700,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: Yes
- Established: 2007
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:13
- Furniture, Fixtures and Equipment:N/A
Residential area, stand-alone building with ample parking
Owner will stay involved to 6 months for a smooth transition
Sales are up significantly since the 2020 renovation
The business was founded in 2007, making the business 15 years old.
The company has 13 employees and resides in a building with approx. square footage of N/A sq ft.
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals choose to sell companies. However, the true reason and the one they tell you might be 2 completely different things. As an example, they may state "I have way too many various responsibilities" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these might simply be reasons to attempt to conceal the reality of altering demographics, increased competition, recent decrease in revenues, or a variety of other factors. This is why it is very essential that you not depend completely on a vendor's word, but rather, use the seller's response together with your general due diligence. This will repaint a much more realistic picture of the business's present scenario.
Existing Debts and Future Obligations
If the current company is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Numerous businesses borrow money so as to cover things such as stock, payroll, accounts payable, and so on. Bear in mind that occasionally this can indicate that profit margins are too thin. Many companies fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may additionally be future commitments to think about. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with suppliers that should be met or might result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the area draw in new consumers? Many times, businesses have repeat customers, which develop the core of their everyday earnings. Certain aspects such as brand-new competition growing up around the location, roadway building and construction, as well as staff turnover can affect repeat clients and adversely affect future profits. One important thing to take into consideration is the area of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Undoubtedly, the more people that see the business on a regular basis, the greater the possibility to build a returning consumer base. A final idea is the basic location demographics. Is the business situated in a largely populated city, or is it located on the edge of town? Just how might the local average household earnings influence future earnings prospects?