Business Overview

Well established pizzeria take-out and delivery only, near bases and densely populated housing complexes. Serving pizza, calzone, Stromboli, subs, salads, appetizers, wings, and Philly’s. Oh yeah, and cheese cake! Good food, good reputation and well run. Excellent opportunity for someone interested in having a ghost kitchen.

Financial

  • Asking Price: $74,900
  • Cash Flow: $71,000
  • Gross Revenue: $273,000
  • EBITDA: N/A
  • FF&E: $20,000
  • Inventory: $5,000
  • Inventory Included: Yes
  • Established: N/A
Is Support & Training Included:

4 weeks

Purpose For Selling:

relocation

Additional Info

The deal does include inventory valued at $5,000, which is included in the requested price.

Why is the Current Owner Selling The Business?

There are all kinds of reasons people decide to sell operating businesses. Nevertheless, the real factor and the one they tell you might be 2 entirely different things. For instance, they may say "I have way too many other commitments" or "I am retiring". For lots of sellers, these factors stand. However, for some, these may just be excuses to attempt to conceal the reality of changing demographics, increased competition, recent reduction in incomes, or an array of other factors. This is why it is really vital that you not rely completely on a seller's word, but rather, use the vendor's solution in conjunction with your overall due diligence. This will repaint a much more reasonable picture of the business's present scenario.

Existing Debts and Future Obligations

If the current business is in debt, which numerous companies are, then you will certainly need to consider this when valuating/preparing your deal. Many companies take out loans so as to cover items like inventory, payroll, accounts payable, etc. Bear in mind that occasionally this can mean that revenue margins are too small. Numerous companies come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may likewise be future obligations to consider. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with suppliers that have to be fulfilled or might cause penalties if terminated 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 consumers, which create the core of their day-to-day earnings. Specific elements such as brand-new competition sprouting up around the area, roadway construction, and also personnel turn over can impact repeat clients and negatively impact future profits. 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 highway? Undoubtedly, the more people that see the business regularly, the better the opportunity to develop a returning client base. A final idea is the general area demographics. Is the business placed in a densely inhabited city, or is it located on the edge of town? Exactly how might the regional average household earnings influence future revenue potential?