Listing ID: 73582
This 5-Star Daycare Center has been serving the families in Columbus & Franklin County since 2011 and Step Up To Quality since 2014. This locally-owned center has been awarded Early Start Columbus and CDC Head Start. This center is 100% state-funded, as all of the students receive Title 20 benefits and also has the Food Reimbursement Program. Because of the confidentiality of this listing, proof of funds, or fundability is required, along with a signed Non-Disclosure Agreement (NDA). Please refer to listing 84541-490131 and advisor Pat Bass when inquiring on this listing
- Asking Price: $325,000
- Cash Flow: $104,995
- Gross Revenue: $734,968
- EBITDA: N/A
- FF&E: $230,000
- Inventory: $700
- Inventory Included: Yes
- Established: 2011
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:7
- Furniture, Fixtures and Equipment:N/A
Type of Location Free-Standing Facilities Monthly Rent $2,600.00 Square Units (Foot, Meter) 5,400
Seller will train for 13 weeks at no cost
The company was founded in 2011, making the business 11 years old.
The deal does include inventory valued at $700, which is included in the asking price.
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals choose to sell operating businesses. Nonetheless, the true reason and the one they tell you may be 2 completely different things. For instance, they might claim "I have way too many various commitments" or "I am retiring". For many sellers, these reasons stand. However, for some, these may just be excuses to try to hide the reality of altering demographics, increased competitors, recent reduction in earnings, or a variety of other factors. This is why it is very important that you not rely totally on a seller's word, however rather, make use of the seller's answer together with your general due diligence. This will paint a much more practical image of the business's existing situation.
Existing Debts and Future Obligations
If the current company is in debt, which lots of businesses are, then you will need to consider this when valuating/preparing your offer. Many companies finance loans with the purpose of covering items such as stock, payroll, accounts payable, and so on. Remember that sometimes this can imply that profit margins are too small. Many companies fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may additionally be future commitments to think about. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with vendors that have to be fulfilled or may lead to charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area draw in new clients? Often times, operating businesses have repeat clients, which develop the core of their everyday revenues. Particular aspects such as brand-new competition growing up around the location, road building and construction, and also employee turn over can impact repeat customers and adversely affect future revenues. One vital thing to consider is the location of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Certainly, the more people that see the business on a regular basis, the better the possibility to build a returning consumer base. A final idea is the basic location demographics. Is the business located in a densely inhabited city, or is it located on the outside border of town? Just how might the local median family income impact future revenue potential?