Business Overview

Home improvement company established for 30+ years in Louisville, KY. The business installs windows, overhead doors, and patio enclosures for customers in Louisville and the surrounding area. There has been impressive growth in recent years with sales in 2021 on pace to hit $2.7M.

Current Owner has established a top-notch reputation for the services they provide and receives a lot of repeat business. All sales and marketing efforts are handled by the current Owner and growth has come through reputation and word of mouth. Continuing excellent service for customers accompanied with additional marketing and sales efforts allow for a motivated buyer to continue to the momentum and increase sales and resulting cash flow.

All FFE included in purchase price and valued at $475,000.

Real estate is available for purchase at an additional price and is valued at $900,000. Inventory also available for purchase at additional price and currently valued at $325,000.

Owner is very motivated and is looking to retire and spend more time with family. They are open to transition with a buyer and offer longer term support. Great opportunity to increase marketing efforts and sales for greater cash flow. This is a great business and a fantastic opportunity for expansion.

Business and real estate have been approved for SBA loan.

Reply to Mike@Hedge-financial.com if interested.

Financial

  • Asking Price: $575,000
  • Cash Flow: $300,000
  • Gross Revenue: $2,700,000
  • EBITDA: N/A
  • FF&E: $475,000
  • Inventory: $325,000
  • Inventory Included: N/A
  • Established: 1991

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:N/A
  • Building Square Footage:19,600
  • Lot Size:N/A
  • Total Number of Employees:15
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Two separate buildings on property, approximately 19,000 sq ft total.

Is Support & Training Included:

Owner willing to fully transition

Purpose For Selling:

Retirement

Additional Info

The business was founded in 1991, making the business 31 years old.
The sale won't include inventory valued at $325,000*, which ins't included in the suggested price.

The business has 15 employees and is situated in a building with estimated square footage of 19,600 sq ft.

Why is the Current Owner Selling The Business?

There are all types of reasons why individuals decide to sell companies. Nonetheless, the genuine reason vs the one they tell you may be 2 entirely different things. As an example, they may state "I have too many other obligations" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these might simply be reasons to try to conceal the reality of altering demographics, increased competitors, recent reduction in profits, or a variety of other factors. This is why it is extremely vital that you not depend completely on a seller's word, however instead, make use of the vendor's solution combined with your overall due diligence. This will repaint a much more realistic picture of the business's present scenario.

Existing Debts and Future Obligations

If the existing entity is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your offer. Numerous businesses borrow money with the purpose of covering things such as stock, payroll, accounts payable, etc. Remember that in some cases this can indicate that earnings margins are too small. Lots of companies come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may additionally be future obligations to take into consideration. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with suppliers that have to be fulfilled or may cause penalties if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do businesses in the location attract brand-new consumers? Many times, companies have repeat clients, which form the core of their daily revenues. Certain variables such as brand-new competitors growing up around the area, roadway construction, and also personnel turnover can affect repeat clients and negatively affect future incomes. One essential thing to consider is the placement of the business. Is it in an extremely trafficked shopping center, or is it concealed from the main road? Obviously, the more people that see the business often, the higher the opportunity to construct a returning client base. A final thought is the general location demographics. Is the business located in a densely inhabited city, or is it located on the outskirts of town? How might the neighborhood typical family income effect future revenue potential?