Listing ID: 74919
Established Grocery Store anchored – High Volume Gilbert Dry Cleaning Plant with PHX Drop location.
** Sellers Gross Sales: approx $480 (Covid) – $635k yearly, Net Profit: approx $216k yearly.
LOW RENT, and premium Equipment for high volume production, newer Steam Boiler, two shirt processing units with Delivery Van and computer Point of Sale Systems included. Seller has owned over 10 years with log term employees at both locations. Seller may carry.
- Asking Price: $434,000
- Cash Flow: $216,000
- Gross Revenue: $635,000
- EBITDA: N/A
- FF&E: $230,000
- Inventory: $2,000
- Inventory Included: Yes
- Established: 2008
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:12
- Furniture, Fixtures and Equipment:N/A
Plant leases approx 1,800 sq. ft. Grocery store center, end cap. Total monthly rent approx $3,300.00. Drop location leases approx 1,200 sq, ft. Total monthly rent approx $1,200.00.
Two weeks, or as needed.
Long term ownership, retirement from this business.
Yes, the Seller will explain.
The business was started in 2008, making the business 14 years old.
The sale does include inventory valued at $2,000, which is included in the suggested price.
Why is the Current Owner Selling The Business?
There are all types of reasons why people choose to sell businesses. However, the real factor vs the one they say to you may be 2 completely different things. For instance, they might say "I have way too many other commitments" or "I am retiring". For numerous sellers, these factors are valid. However, for some, these may just be excuses to attempt to hide the reality of transforming demographics, increased competition, recent reduction in profits, or a variety of various other reasons. This is why it is extremely essential that you not depend totally on a vendor's word, however instead, use the vendor's answer combined with your overall due diligence. This will repaint an extra realistic picture of the business's present scenario.
Existing Debts and Future Obligations
If the existing company is in debt, which lots of companies are, then you will need to consider this when valuating/preparing your deal. Lots of businesses borrow money in order to cover points like supplies, payroll, accounts payable, etc. Keep in mind that sometimes this can indicate that revenue margins are too thin. Numerous businesses fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may also be future commitments to consider. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with vendors that must be met or might cause fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the area attract new consumers? Most times, businesses have repeat customers, which create the core of their daily profits. Particular elements such as new competition sprouting up around the area, roadway construction, and also employee turnover can influence repeat consumers and also adversely affect future revenues. One important point to take into consideration is the location of the business. Is it in a highly trafficked shopping mall, or is it concealed from the highway? Undoubtedly, the more individuals that see the business regularly, the better the possibility to construct a returning customer base. A final thought is the basic area demographics. Is the business placed in a densely populated city, or is it situated on the outskirts of town? Exactly how might the neighborhood median family earnings influence future earnings potential?