Listing ID: 76009
ECOMMERCE-business-to-customer brand. Featured on Good Morning America! Simple, yet incredibly stylish and attractive, baby feeding tableware using high-quality eco-friendly products that look both inviting as well as feel good to use; zero plastic used in packing. The target market is predominantly parents of children from 6-36 months but also those who are expecting a child, thinking about having a child or wants to buy unique shower or baby gifts. Much social and media attention as well as social influences touting the company. Trademarking process has begun; products are sold through a distributor in Europe and are in discussion with a potential distributor in Canada which is looking forward to carrying the brand and help it further grow in that region. For additional information please contact listing agent Thomas Vondell at 845-389-2599 or firstname.lastname@example.org.
- Asking Price: $205,000
- Cash Flow: $63,570
- Gross Revenue: $103,219
- EBITDA: N/A
- FF&E: N/A
- Inventory: $42,000
- Inventory Included: Yes
- Established: N/A
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:4
- Furniture, Fixtures and Equipment:N/A
This is a home based location. Seller is active in the business with 4 Independent Contractors. Hours of operation are 24 hours a day/ 7 days a week. $42,000 in Inventory included in asking price.
Expecting first child, need to focus on family and wants to see the Company cont
The transaction does include inventory valued at $42,000, which is included in the requested price.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people resolve to sell businesses. Nonetheless, the true reason vs the one they tell you might be 2 entirely different things. As an example, they might state "I have way too many various responsibilities" or "I am retiring". For lots of sellers, these reasons stand. But also, for some, these might simply be justifications to try to conceal the reality of changing demographics, increased competitors, recent reduction in revenues, or a variety of other reasons. This is why it is extremely essential that you not count completely on a seller's word, however instead, use the vendor's response in conjunction with your general due diligence. This will repaint a more reasonable image of the business's current scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which many businesses are, then you will certainly need to consider this when valuating/preparing your deal. Lots of operating businesses borrow money so as to cover items like stock, payroll, accounts payable, and so on. Remember that in some cases this can imply that revenue margins are too thin. 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 take into consideration. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that must be satisfied or may result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the location draw in brand-new consumers? Often times, operating businesses have repeat consumers, which form the core of their daily revenues. Particular factors such as new competition growing up around the area, road building, as well as staff turn over can affect repeat customers and negatively impact future incomes. One vital thing to think about is the placement of the business. Is it in a highly trafficked shopping mall, or is it hidden from the highway? Clearly, the more people that see the business on a regular basis, the higher the chance to develop a returning consumer base. A last idea is the basic area demographics. Is the business placed in a largely populated city, or is it situated on the outskirts of town? How might the local mean home earnings impact future income potential?