Listing ID: 75114
Northern Arizona Specialty Restaurant located in fast growing area. Very strong location in the vibrant downtown area of a leading city. Currently Chef driven but does not have to be. Fabulous menu and food. Average check per person in mid to high range. Open for lunch and dinner. Popular with both locals and tourists. Has strong sales, fabulous 2021 cash flow over $700,000 and a great reputation. Has wonderful patio, bar and #12 liquor license. Very good lease and landlord. Prospective Buyers must sign non-disclosure agreement, have restaurant experience and provide indication of net worth. This restaurant has been pre-approved for SBA financing effective 5/11/2021! This restaurant had record sales and cash flow year for 2021 with sales over $1,600,000 and SDE over $700,000.
- Asking Price: $1,495,000
- Cash Flow: $750,000
- Gross Revenue: $1,625,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
Lots and lots of patio space. Has bar area. Special oven.
No one else is really competing with this owner operated business.
The business is still growing. 2021 sales and cash flow up substantially from 2020. Also opportunity to do other locations with the same concept
The real estate is leased by the business for $7,000 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons individuals choose to sell companies. Nonetheless, the true reason vs the one they say to you may be 2 absolutely different things. For instance, they may say "I have too many other commitments" or "I am retiring". For numerous sellers, these factors are valid. But also, for some, these might just be excuses to try to hide the reality of altering demographics, increased competition, recent reduction in profits, or a range of other reasons. This is why it is extremely vital that you not count totally on a seller's word, however instead, utilize the vendor's answer along with your general due diligence. This will repaint a much more sensible image of the business's existing scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your offer. Many companies take out loans so as to cover things like inventory, payroll, accounts payable, and so on. Bear in mind that occasionally this can mean that revenue margins are too tight. Many companies fall under a revolving door of taking loans 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 structure where the business resides. The business may have existing contracts with vendors that should be met or might cause penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the area bring in new customers? Most times, operating businesses have repeat customers, which develop the core of their everyday revenues. Particular elements such as new competitors growing up around the location, roadway construction, and employee turnover can impact repeat clients and also adversely affect future revenues. One essential thing to consider is the location of the business. Is it in a very trafficked shopping center, or is it hidden from the highway? Clearly, the more people that see the business on a regular basis, the higher the opportunity to develop a returning customer base. A final thought is the general area demographics. Is the business placed in a largely populated city, or is it located on the edge of town? Exactly how might the regional typical household earnings effect future income prospects?