Listing ID: 74931
Location has been Leased. Gilbert off US at 60 by Val Vista approx 1,800 sq ft. Recently closed Breakfast/Lunch. Fully Equipped, Walk In Cooler, near ready for reopen. Major Grocery Anchor. High Income Demographic. Priced at first months rent plus security deposit. $ 24-$25 PSF, NNN
Call for details.
- Asking Price: $4,300
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: $25,000
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
Leases approx 1,800 sq. ft prime Gilbert Shopping with major anchor tenant.
Why is the Current Owner Selling The Business?
There are all sorts of reasons people decide to sell businesses. Nonetheless, the true reason and the one they tell you may be 2 completely different things. As an example, they might state "I have too many various obligations" or "I am retiring". For lots of sellers, these reasons are valid. However, for some, these might just be excuses to attempt to conceal the reality of altering demographics, increased competitors, recent reduction in earnings, or a variety of various other reasons. This is why it is very important that you not depend completely on a seller's word, however rather, make use of the seller's solution together with your general due diligence. This will paint an extra sensible image of the business's present situation.
Existing Debts and Future Obligations
If the current business is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your deal. Lots of operating businesses take out loans in order to cover things such as stock, payroll, accounts payable, etc. Keep in mind that in some cases this can imply that revenue margins are too thin. Many companies fall under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may also be future commitments to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that need to be fulfilled or might result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location bring in brand-new consumers? Most times, businesses have repeat clients, which develop the core of their daily earnings. Specific variables such as brand-new competitors sprouting up around the location, road building and construction, as well as personnel turnover can affect repeat customers and negatively influence future incomes. One crucial point to consider is the location of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Certainly, the more people that see the business often, the better the possibility to build a returning customer base. A final idea is the general location demographics. Is the business situated in a largely inhabited city, or is it located on the outside border of town? Just how might the neighborhood mean household earnings impact future earnings potential?