Business Overview

This family-run lumber yard was founded in 1980 and has been serving both retail customers and contractors since. The company is located in directly on a numbered state highway in southwestern Maine.

In addition to lumber and building products, the store also sells a variety of tools of the trade.

The company has shown robust growth over the last several years.

The business consists of about 3,200 square feet of retail space and about 4.5 acres for lumber storage and sales.

There are also two home on the property, which could serve as rentals or an owner’s residence. One (single-wide trailer) is rented at $700.00/month. The other (single family Cape) is occupied by a family member, but the seller states that market rents are about $1200 – $1400/month.

*Confidential Listing, not located in indicated Zip Code*

Financial

  • Asking Price: $1,375,000
  • Cash Flow: $455,535
  • Gross Revenue: $2,695,094
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 1980

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:N/A
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Real Estate is not included in the sale price. Inventory is not included in the sale price.

Is Support & Training Included:

Seller will assist in the transition and may be willing to work part time.

Purpose For Selling:

Retirement

Additional Info

The business was established in 1980, making the business 42 years old.

Why is the Current Owner Selling The Business?

There are all types of reasons people decide to sell operating businesses. However, the true factor vs the one they tell you may be 2 entirely different things. For instance, they may claim "I have too many various responsibilities" or "I am retiring". For many sellers, these factors are valid. However, for some, these may just be excuses to try to hide the reality of altering demographics, increased competition, current reduction in profits, or a range of various other factors. This is why it is very vital that you not rely entirely on a seller's word, yet rather, use the seller's solution along with your total due diligence. This will repaint a more reasonable image of the business's present situation.

Existing Debts and Future Obligations

If the current entity is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your deal. Numerous businesses finance loans with the purpose of covering points such as inventory, payroll, accounts payable, and so on. Keep in mind that occasionally this can imply that earnings margins are too thin. Numerous companies come under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future obligations to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with vendors that should be fulfilled or might result in fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do companies in the location bring in new customers? Many times, operating businesses have repeat customers, which create the core of their day-to-day revenues. Specific variables such as brand-new competitors growing up around the location, road construction, as well as personnel turnover can impact repeat customers and also adversely influence future profits. One vital point to think about is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Certainly, the more people that see the business regularly, the better the chance to develop a returning client base. A last thought is the basic area demographics. Is the business located in a densely inhabited city, or is it located on the edge of town? How might the local median household income influence future revenue potential?