Listing ID: 73444
Well Established, long-term paving and cement operations located in Central Ohio with stabilized sales and strong profit margins. Great opportunity to develop current sales team and return business to previous sales volumes. Owner has been absentee for several seasons and is looking to retire. Business has all the necessary equipment, staffing, operational location, and business vendors / clients.
There is an additional opportunity to purchase the building and property for $425,000.
- Asking Price: $600,000
- Cash Flow: N/A
- Gross Revenue: $2,500,000
- EBITDA: N/A
- FF&E: $280,000
- Inventory: N/A
- Inventory Included: Yes
- Established: 1982
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:14
- Furniture, Fixtures and Equipment:N/A
Location is house in a 3,850 SF building with a second level that has an additional 1,000 SF of office space. Primary building has large overhead doors that allow for the equipment to be brought in and worked on or stored. There are two large fenced in lots for additional outdoor storage of vehicles and materials.
Owner is willing to provide training and vendor / client introductions.
Looking to retire
Well established business with a good market share. Great opportunity for incoming owner to expand the Sub business that is provided from several of the primary vendor relationships that have been developed over the past 38 years.
Great opportunity to expand current business relationships and increase the sales team that is already in place.
The business was started in 1982, making the business 40 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people decide to sell businesses. Nevertheless, the true factor and the one they tell you might be 2 completely different things. For instance, they might state "I have too many other commitments" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these may just be reasons to attempt to conceal the reality of transforming demographics, increased competition, recent decrease in incomes, or a range of various other factors. This is why it is really important that you not count completely on a vendor's word, but rather, make use of the seller's solution along with your overall due diligence. This will paint an extra realistic image of the business's current scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which many companies are, then you will need to consider this when valuating/preparing your deal. Many operating businesses take out loans in order to cover items like inventory, payroll, accounts payable, so on and so forth. Keep in mind that in some cases this can mean that revenue margins are too tight. Numerous companies fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future commitments to consider. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with vendors that have to be satisfied or may result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location bring in new clients? Often times, businesses have repeat clients, which create the core of their day-to-day profits. Particular aspects such as brand-new competitors sprouting up around the location, road construction, and personnel turnover can influence repeat customers and also negatively impact future profits. One crucial point to consider is the location 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 higher the chance to build a returning client base. A last thought is the basic area demographics. Is the business placed in a densely populated city, or is it situated on the outside border of town? Just how might the regional median house earnings effect future earnings potential?