Listing ID: 73359
The space does not disappoint! This International Student focused restaurant near Ohio State University is primed for a new owner/operator to take it to the next level. Seller was focused on International Students and doing sales of over $140,000 per month prior to Covid-19. Repositioning of the restaurant for all students and households surrounding the area will bring revenue back to or exceed these levels. The space has a huge kitchen with multiple hoods, walk-in cooler and freezer, etc… Higher end finishes along with a Sushi Bar and Liquor License make this an ideal space ready for someone to walk in and continue the operations.
- Asking Price: $275,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2014
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:4,300
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Owner wants to retire
The business was started in 2014, making the business 8 years old.
The building is leased by the company for $10,000 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons people choose to sell businesses. However, the true factor and the one they say to you might be 2 totally different things. For instance, they might claim "I have too many various obligations" or "I am retiring". For lots of sellers, these factors are valid. But also, for some, these might just be excuses to try to hide the reality of transforming demographics, increased competitors, recent decrease in incomes, or an array of various other factors. This is why it is really crucial that you not depend totally on a seller's word, however instead, utilize the seller's answer in conjunction with your total due diligence. This will repaint a much more realistic image of the business's existing situation.
Existing Debts and Future Obligations
If the existing business is in debt, which many businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Many businesses finance loans with the purpose of covering things such as supplies, payroll, accounts payable, etc. Keep in mind that occasionally this can indicate that earnings 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 also be future obligations to consider. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that should be fulfilled or might lead to penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the location draw in new clients? Most times, companies have repeat consumers, which form the core of their day-to-day earnings. Certain variables such as new competitors growing up around the area, road construction, as well as employee turn over can affect repeat clients and also negatively impact future incomes. One essential thing to consider is the area 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 on a regular basis, the greater the chance to develop a returning customer base. A final idea is the basic area demographics. Is the business located in a largely inhabited city, or is it located on the edge of town? Just how might the local typical house earnings effect future earnings potential?