Listing ID: 75986
High Precision Machine Shop w/over 40 years of serving the Aerospace, firearms, medical, robotics and fiber optic industries handling all machining needs, from the initial prototype to production. Well known internationally for determining the best solutions for puzzling design-to-cost problems. State of the art technology with equipment and fixes assets approx. $2.8 million. This company boasts state-of-the-art design and production technology. Solid reputation for top-quality work, fast efficient service, and competitive pricing. Great Projections for 2021. Real Estate also for sale for $750,000. For additional information please contact listing agent Thomas Vondell at 845-389-2599 or email@example.com.
- Asking Price: $4,500,000
- Cash Flow: $351,963
- Gross Revenue: $1,469,876
- EBITDA: N/A
- FF&E: $2,800,000
- Inventory: $250,000
- Inventory Included: Yes
- Established: 1963
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:15
- Furniture, Fixtures and Equipment:N/A
This is a location of 18,000 square feet. Seller is active in the business with 11 FT employees and 4 PT employees. Hours of operation are 8 AM to 5 PM, Monday - Friday. $250,000 in Inventory and $2,800,000 in FF&E included in Asking Price.
The company was founded in 1963, making the business 59 years old.
The transaction does include inventory valued at $250,000, which is included in the asking price.
Why is the Current Owner Selling The Business?
There are all kinds of reasons people choose to sell operating businesses. Nonetheless, the true factor and the one they tell you might be 2 absolutely different things. As an example, they may state "I have too many various responsibilities" or "I am retiring". For lots of sellers, these factors stand. But, for some, these might just be justifications to try to hide the reality of changing demographics, increased competition, recent decrease in earnings, or an array of other reasons. This is why it is extremely vital that you not rely absolutely on a seller's word, however rather, make use of the seller's answer together with your general due diligence. This will paint an extra reasonable image of the business's existing situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of businesses are, then you will need to consider this when valuating/preparing your deal. Numerous operating businesses finance loans so as to cover items such as supplies, payroll, accounts payable, and so on. Keep in mind that occasionally this can mean that profit margins are too thin. Numerous organisations fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future obligations to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with suppliers that need to be fulfilled or might lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the area draw in new clients? Many times, operating businesses have repeat consumers, which develop the core of their day-to-day profits. Specific elements such as new competition growing up around the area, road building, as well as personnel turnover can impact repeat clients and negatively impact future incomes. One important point to take into consideration is the location of the business. Is it in an extremely trafficked shopping center, or is it concealed from the highway? Certainly, the more individuals that see the business regularly, the better the chance to build a returning client base. A last thought is the basic location demographics. Is the business located in a largely inhabited city, or is it located on the edge of town? Exactly how might the neighborhood mean home income effect future revenue potential?