Listing ID: 72596
NW Pearl District
Central to a thriving long established neighborhood. Good visibility and solid reputation with repeat locals
The best outdoor front patio – a gathering spot
Espresso drinks, pastries, coffee and lunch/brunch
Short hours – should be expanded
Absentee owned – Owner operator could reduce labor and improve efficiency
Revenues 2017-2019 averaged $1.5mm (pre covid)
Full kitchen with hood grease trap et al.
Natural light setting inside and dramatic front patio
- Asking Price: $160,000
- Cash Flow: N/A
- Gross Revenue: $1,100,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2009
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:2,400
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Outstanding cozy urban comfort the 2375 square foot cafe includes a bar/counter area, a roomy kitchen, cozy dining room and a stunning outdoor deck with seating. The equipment is in good condition. Seats 50 in and 50 out
Seller will consider a transition
Best location, quality product, best visibility, great demographics
Expand service hours to pre-covid times. Owner operator could manage efficiencies.
The business was established in 2009, making the business 13 years old.
The building is leased by the company for $6,400 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals decide to sell operating businesses. However, the genuine factor vs the one they say to you might be 2 totally different things. For instance, they might claim "I have too many other responsibilities" or "I am retiring". For many sellers, these reasons stand. But, for some, these may simply be reasons to attempt to conceal the reality of transforming demographics, increased competitors, current decrease in earnings, or a range of other reasons. This is why it is really vital that you not count completely on a seller's word, however rather, use the seller's response along with your general due diligence. This will paint an extra reasonable image of the business's current scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your deal. Many businesses take out loans in order to cover items like stock, payroll, accounts payable, so on and so forth. Bear in mind that sometimes this can suggest that profit margins are too thin. 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 obligations to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with suppliers that need to be met or might lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location draw in new clients? Many times, businesses have repeat consumers, which form the core of their everyday revenues. Particular variables such as brand-new competition sprouting up around the location, road construction, as well as employee turnover can affect repeat clients and negatively influence future profits. One essential thing to take into consideration is the location of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Undoubtedly, the more people that see the business on a regular basis, the better the possibility to build a returning client base. A final idea is the basic area demographics. Is the business placed in a densely populated city, or is it located on the outside border of town? Just how might the neighborhood typical household income influence future revenue potential?