Listing ID: 73460
Local iconic neighborhood restaurant, is located just north of downtown Cincinnati. This property is located just outside of beautiful Eden Park and comes fully equipped with all Furniture, Fixtures, and Equipment, which includes two walk in refrigeration units and two separate freezer units. A fully functioning bar is included with an Ohio liquor permit.
This property has separate entrances for the residence above the restaurant, which includes a 3BR and a 2BR.
Business is being sold separate from the real estate. There is an option to purchase the real estate as well.
- Asking Price: $300,000
- Cash Flow: N/A
- Gross Revenue: $500,000
- EBITDA: N/A
- FF&E: $300,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 2006
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:3,500
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
Restaurant operation has been in business over a decade and continues to show sales growth. Restaurant has a full service kitchen, dining rooms, and bar. Acquisition comes with D5/D6 Liquor Permit. The high end restaurant can be retained as is or can be modified to accommodate any type of operation. Location is a three story building that has a restaurant operation in the first floor and residential in the second and third floor. The commercial property has a strong income potential with the opportunity to generate near a 10 CAP on the NOI.
Owner will provide some on-site training during transition period.
Incredible market area with unique retail and restaurants in residential setting near downtown Cincinnati.
Great space to develop a local hot spot that has great walkability for local residence.
The venture was established in 2006, making the business 16 years old.
The business has 3 employees and resides in a building with disclosed square footage of 3,500 sq ft.
Why is the Current Owner Selling The Business?
There are all types of reasons individuals decide to sell businesses. Nevertheless, the real reason and the one they say to you may be 2 completely different things. As an example, they may state "I have too many various commitments" or "I am retiring". For numerous sellers, these reasons are valid. But also, for some, these might simply be justifications to try to conceal the reality of transforming demographics, increased competition, current reduction in earnings, or a variety of various other reasons. This is why it is very vital that you not count absolutely on a seller's word, however instead, use the vendor's solution in conjunction with your total due diligence. This will repaint a more realistic picture of the business's existing scenario.
Existing Debts and Future Obligations
If the current business is in debt, which many companies are, then you will certainly need to consider this when valuating/preparing your offer. Lots of operating businesses take out loans in order to cover items such as stock, payroll, accounts payable, etc. Remember that sometimes this can suggest that earnings margins are too thin. Lots of companies come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may also be future obligations to consider. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing agreements with suppliers that have to be met or may result in charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the location draw in new clients? Often times, companies have repeat clients, which develop the core of their everyday revenues. Certain aspects such as new competitors sprouting up around the area, road construction, and personnel turn over can influence repeat customers as well as adversely affect future earnings. One essential point to think about is the placement of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Undoubtedly, the more individuals that see the business regularly, the greater the possibility to develop a returning customer base. A final thought is the basic location demographics. Is the business located in a largely inhabited city, or is it situated on the outskirts of town? How might the regional average household income impact future income prospects?