Listing ID: 71487
Completely turnkey, fully functional coffee shop in strong up and coming neighborhood. All of the heavy lifting has been done on this business opportunity. Started at the onset of the pandemic, this start up business was able to sustain through the worst of times and is positioned to enter a time of steady growth. This location is a well know, high traffic neighborhood with many existing and thriving businesses. Existing employees willing to stay on if new owner chooses.
There is no other business opportunity available in this price point with this same growth potential.
NOTE: Full equipment list is attached.
- Asking Price: $75,000
- Cash Flow: N/A
- Gross Revenue: $180,000
- EBITDA: N/A
- FF&E: $43,000
- Inventory: $8,000
- Inventory Included: N/A
- Established: 2019
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,200
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
Owner has other business interests
The company was started in 2019, making the business 3 years old.
The deal doesn't include inventory valued at $8,000*, which ins't included in the listing price.
The business has 3 employees and is located in a building with disclosed square footage of 1,200 sq ft.
The building is leased by the business for $1,250 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons individuals decide to sell companies. Nevertheless, the real factor vs the one they say to you might be 2 completely different things. For instance, they may say "I have too many various obligations" or "I am retiring". For many sellers, these factors are valid. However, for some, these might just be excuses to attempt to conceal the reality of transforming demographics, increased competition, current reduction in earnings, or a range of other reasons. This is why it is very essential that you not rely absolutely on a seller's word, however rather, use the seller's response together with your general due diligence. This will repaint a more reasonable picture of the business's present situation.
Existing Debts and Future Obligations
If the current business is in debt, which numerous companies are, then you will certainly need to consider this when valuating/preparing your offer. Numerous businesses finance loans in order to cover things such as supplies, payroll, accounts payable, and so on. Remember that sometimes this can mean that earnings margins are too small. Numerous businesses come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may additionally be future commitments to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with vendors that must be met or may lead to fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area bring in new clients? Often times, companies have repeat clients, which form the core of their daily profits. Particular variables such as new competitors growing up around the location, roadway construction, as well as employee turnover can impact repeat clients and negatively influence future incomes. One important thing to think about is the area of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Undoubtedly, the more people that see the business on a regular basis, the better the chance to develop a returning customer base. A final idea is the general area demographics. Is the business located in a densely inhabited city, or is it located on the outskirts of town? How might the neighborhood mean house earnings effect future income prospects?