Listing ID: 75104
This store is one of the original water and ice stores in the valley. The store has always made money because it is in a very busy shopping center with great demographics. Very easy business to run with one person so you don’t need to spend much money on employees. This store has a outside window with a water vending machine so you can make sales even when the store is closed. The store is well established and has always been successful. The previous owner ran the store for 15 years and this owner must sell because of health reasons.
- Asking Price: $179,000
- Cash Flow: $65,000
- Gross Revenue: $144,000
- EBITDA: N/A
- FF&E: $100,000
- Inventory: $6,000
- Inventory Included: N/A
- Established: 1997
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,300
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
This is a very well-equipped store that has window vending and plenty of parking. The store is in a very busy shopping center.
The owner will provide training.
Great location very busy store has always been a moneymaker.
The new owner can increase hours to increase sales and add more items like candy and chips for sale.
The venture was established in 1997, making the business 25 years old.
The sale doesn't include inventory valued at $6,000*, which ins't included in the asking price.
The company has 0 employees and is situated in a building with estimated square footage of 1,300 sq ft.
The property is leased by the company for $2,389 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons people decide to sell companies. Nevertheless, the genuine reason vs the one they say to you may be 2 entirely different things. For instance, they may say "I have a lot of various responsibilities" or "I am retiring". For many sellers, these factors are valid. However, for some, these might simply be reasons to attempt to conceal the reality of altering demographics, increased competitors, recent decrease in revenues, or a range of other reasons. This is why it is really essential that you not count absolutely on a vendor's word, but rather, utilize the seller's solution along with your overall due diligence. This will paint a much more realistic picture of the business's existing circumstance.
Existing Debts and Future Obligations
If the current entity is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of companies take out loans with the purpose of covering points like inventory, payroll, accounts payable, and so on. Bear in mind that in some cases this can suggest that profit margins are too tight. Many businesses come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may likewise be future obligations to consider. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with suppliers that must be fulfilled or may lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the area draw in brand-new customers? Most times, operating businesses have repeat consumers, which create the core of their everyday profits. Particular variables such as brand-new competition growing up around the location, road building, as well as staff turnover can influence repeat consumers as well as negatively influence future profits. One important thing to take into consideration is the area of the business. Is it in a very trafficked shopping center, or is it concealed from the highway? Certainly, the more individuals that see the business often, the higher the chance to develop a returning consumer base. A last idea is the general location demographics. Is the business located in a densely inhabited city, or is it situated on the outskirts of town? Just how might the regional median house earnings influence future income prospects?