Business Overview

RESTAURANT with an authentic full-service menu has just become available. Local Residents and the surrounding OKC area have been enjoying this dine in or take out establishment for the past twenty-nine years.

Financial

  • Asking Price: $45,000
  • Cash Flow: N/A
  • Gross Revenue: N/A
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A
Is Support & Training Included:

3 weeks

Purpose For Selling:

retirement

Why is the Current Owner Selling The Business?

There are all sorts of reasons why individuals choose to sell companies. However, the genuine reason and the one they say to you may be 2 absolutely different things. As an example, they may say "I have too many various obligations" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these might just be reasons to try to hide the reality of altering demographics, increased competitors, recent decrease in incomes, or a range of various other factors. This is why it is extremely vital that you not count absolutely on a vendor's word, yet rather, use the seller's solution together with your overall due diligence. This will repaint a much more reasonable picture of the business's present 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 operating businesses take out loans in order to cover points like supplies, payroll, accounts payable, so on and so forth. Bear in mind that sometimes this can suggest that profit margins are too small. Numerous organisations fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may likewise be future commitments to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with suppliers that have to be met or might result in penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do businesses in the area bring in brand-new clients? Many times, operating businesses have repeat customers, which create the core of their daily revenues. Particular variables such as brand-new competition growing up around the location, road building and construction, as well as employee turnover can affect repeat customers as well as adversely affect future incomes. One vital point to take into consideration is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Obviously, the more people that see the business regularly, the higher the chance to build a returning customer base. A final thought is the general area demographics. Is the business placed in a largely populated city, or is it situated on the edge of town? How might the regional mean family income impact future income prospects?