Listing ID: 71532
Long established laundromat in Kent County offering wash, dry and fold or self service. As an additional service, dry cleaning drop off is also available. Open 7 days a week. This establishment has operated successfully for 60+ years and has built a strong reputation within the community. This business opportunity is the definition of turn key. A solid long term lease provides the security desired. Equipment ranges from new to various ages and is mostly Speed Queen.
This is the ideal type of business as it can thrive during times of recession and pandemic.
- Asking Price: $295,000
- Cash Flow: $65,000
- Gross Revenue: $185,000
- EBITDA: N/A
- FF&E: $150,000
- Inventory: $2,500
- Inventory Included: N/A
- Established: 1961
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,800
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
This location is leased and consists of 1800sf which includes full basement.
Owner will provide 2 weeks of training included in price. Extended training is available with commensurate salary.
Owner is retiring after many years of operating
The potential revenue of this business could be great increased by procuring business accounts, offering pick up and delivery service, social media promotion, and implementing a card system to allow customers to pay by credit card.
The venture was established in 1961, making the business 61 years old.
The deal won't include inventory valued at $2,500*, which ins't included in the asking price.
The company has 5 employees and is situated in a building with approx. square footage of 1,800 sq ft.
The property is leased by the company for $2,400 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people choose to sell operating businesses. Nevertheless, the real factor vs the one they tell you might be 2 completely different things. As an example, they may say "I have too many other commitments" or "I am retiring". For numerous sellers, these factors are valid. But, for some, these may just be excuses to try to conceal the reality of transforming demographics, increased competition, recent reduction in incomes, or an array of other reasons. This is why it is really crucial that you not depend absolutely on a vendor's word, but instead, make use of the vendor's response along with your general due diligence. This will paint an extra reasonable picture of the business's existing situation.
Existing Debts and Future Obligations
If the current business is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your offer. Numerous businesses finance loans so as to cover things such as inventory, payroll, accounts payable, etc. Remember that sometimes this can suggest that revenue margins are too tight. Lots of companies fall into a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may additionally be future commitments to take into consideration. There might be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with suppliers that should be fulfilled or might lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the location bring in brand-new consumers? Often times, companies have repeat customers, which create the core of their daily revenues. Specific factors such as brand-new competitors sprouting up around the location, roadway construction, and personnel turn over can impact repeat clients and negatively impact future profits. One vital point to consider is the placement of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Certainly, the more individuals that see the business regularly, the better the opportunity to develop a returning consumer base. A final idea is the general area demographics. Is the business located in a densely inhabited city, or is it located on the edge of town? Exactly how might the local typical home income influence future earnings prospects?