Listing ID: 73376
Profitable, well known, full-service, turn-key restaurant serving breakfast, lunch and dinner. All recipes, job descriptions, processes and procedures are memorialized and are reinforced daily by the owners and managers. The business is operating at pre-COVID levels.
- Asking Price: $850,000
- Cash Flow: $304,298
- Gross Revenue: $1,690,000
- EBITDA: N/A
- FF&E: $77,000
- Inventory: $15,000
- Inventory Included: N/A
- Established: 1995
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:28
- Furniture, Fixtures and Equipment:N/A
Single purpose restaurant location.
Owner will work with a buyer to develop an appropriate training and transition plan.
Owners are focusing on other business and personal interests.
A leader in the category of business served.
Continued social media marketing should continue to grow customer base.
The venture was founded in 1995, making the business 27 years old.
The sale shall not include inventory valued at $15,000*, which ins't included in the listing price.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why individuals resolve to sell businesses. Nevertheless, the true factor vs the one they say to you might be 2 totally different things. As an example, they might say "I have too many various obligations" or "I am retiring". For numerous sellers, these factors stand. But, for some, these may simply be justifications to attempt to hide the reality of changing demographics, increased competition, current decrease in revenues, or a variety of other reasons. This is why it is very important that you not rely absolutely on a vendor's word, yet rather, make use of the vendor's answer together with your total due diligence. This will repaint a more sensible picture of the business's existing circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which many companies are, then you will need to consider this when valuating/preparing your deal. Lots of businesses borrow money with the purpose of covering things like inventory, payroll, accounts payable, so on and so forth. Remember that sometimes this can imply that profit margins are too tight. 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 commitments to think about. There may be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with vendors that need to be fulfilled or may cause penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the location bring in new consumers? Often times, businesses have repeat customers, which develop the core of their day-to-day earnings. Certain variables such as new competition growing up around the area, road construction, as well as employee turn over can affect repeat consumers as well as negatively influence future revenues. One crucial point to think about is the placement of the business. Is it in a very trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more people that see the business often, the greater the opportunity to develop a returning client base. A final thought is the basic location demographics. Is the business located in a densely populated city, or is it located on the edge of town? Exactly how might the local typical home earnings effect future revenue prospects?