Listing ID: 72515
Sushi and Korean cuisine with beer and wine liquor license. Dine in, Patio seating and high volume of take out sales, Established more than 10 years downtown prime location. Real estate NOT included. Restaurant size: 2,900 sf monthly rent monthly $3,800. Lease expires June 2023.
Landlord is ready to make new lease with new owner for 10 years with many five years options to renew or term and condition mutually agreeable between new owner and landlord
- Asking Price: $1,500,000
- Cash Flow: $621,975
- Gross Revenue: $2,216,572
- EBITDA: N/A
- FF&E: N/A
- Inventory: $10,000
- Inventory Included: N/A
- Established: 2007
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:2,900
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
One of the space at the prime location of a multi-tenant property downtown next to the Theater. Indoor and outdoor seating. Downtown has two college campus with many student customers.
Manager managed at this time. Manager will likely stay. Owner and Manager will train new owner to be negotiated.
There are competitions. It appears this one is the best Sushi and Korean food in southern Oregon with many repeat customers. Great dining experience besides the great food!
Long established location with many take out orders. More tables onto the large open courtyard maybe possible.
The venture was established in 2007, making the business 15 years old.
The transaction doesn't include inventory valued at $10,000*, which ins't included in the asking price.
The company has 5 employees and is situated in a building with estimated square footage of 2,900 sq ft.
The building is leased by the company for $3,800 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons people resolve to sell businesses. Nevertheless, the real factor and the one they tell you might be 2 totally different things. For instance, they may state "I have a lot of various commitments" or "I am retiring". For numerous sellers, these reasons are valid. But, for some, these may simply be excuses to try to conceal the reality of changing demographics, increased competition, recent reduction in incomes, or a range of various other factors. This is why it is really important that you not rely totally on a vendor's word, yet instead, make use of the vendor's solution in conjunction with your total due diligence. This will paint an extra realistic image of the business's existing situation.
Existing Debts and Future Obligations
If the current company is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your deal. Numerous companies borrow money with the purpose of covering items like stock, payroll, accounts payable, and so on. Keep in mind that occasionally this can indicate that revenue margins are too tight. Numerous businesses come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may additionally be future obligations to think about. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with suppliers that must be fulfilled or might result in penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location draw in brand-new consumers? Often times, businesses have repeat customers, which develop the core of their daily revenues. Particular factors such as brand-new competition growing up around the location, road construction, and also employee turnover can impact repeat consumers as well as negatively impact future earnings. One essential thing to think about is the location of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Obviously, the more people that see the business regularly, the better the opportunity to develop a returning client base. A final thought is the general area demographics. Is the business situated in a densely inhabited city, or is it situated on the outside border of town? Exactly how might the regional median household income impact future earnings prospects?