Listing ID: 75129
Well established in an older neighborhood with a lot of people poping in all day long! With plenty of inside and outside seating for everyone to relax and enjoy the coffee. The wonderful artwork for sale on the walls adds to the atmosphere.
- Asking Price: $120,000
- Cash Flow: N/A
- Gross Revenue: $155,000
- EBITDA: N/A
- FF&E: $1,000
- Inventory: $5,000
- Inventory Included: N/A
- Established: 2001
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,200
- Lot Size:N/A
- Total Number of Employees:2
- Furniture, Fixtures and Equipment:N/A
In a strip center with many stores and foot traffic.
Seller will train
Other business interest
The restaurant does no advertising
The company was started in 2001, making the business 21 years old.
The transaction shall not include inventory valued at $5,000*, which ins't included in the suggested price.
The business has 2FT employees and resides in a building with disclosed square footage of 1,200 sq ft.
The real estate is leased by the business for $3,500 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons individuals resolve to sell operating businesses. Nevertheless, the genuine factor and the one they say to you may be 2 entirely different things. As an example, they might say "I have too many other obligations" or "I am retiring". For many sellers, these reasons stand. But, for some, these may simply be excuses to attempt to hide the reality of altering demographics, increased competition, current reduction in incomes, or a range of various other factors. This is why it is really vital that you not rely absolutely on a vendor's word, but instead, use the vendor's answer along with your general due diligence. This will paint an extra sensible picture of the business's current scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous companies are, then you will have reason to consider this when valuating/preparing your deal. Lots of businesses take out loans with the purpose of covering points like stock, payroll, accounts payable, so on and so forth. Remember that in some cases this can indicate that profit margins are too tight. Lots of businesses fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future commitments to consider. There might be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with vendors that must be met or might cause charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location attract new customers? Many times, companies have repeat consumers, which develop the core of their daily revenues. Specific aspects such as new competition sprouting up around the location, road building, and staff turn over can impact repeat customers and negatively influence future earnings. One vital point to consider is the placement of the business. Is it in a highly trafficked shopping mall, or is it concealed from the highway? Undoubtedly, the more people that see the business on a regular basis, the higher the opportunity to build a returning customer base. A final thought is the basic location demographics. Is the business located in a largely populated city, or is it situated on the outskirts of town? Just how might the regional average home income influence future revenue potential?