Business Overview

Great opportunity to own a traditional Italian Deli doing 16K a week. This place is known for its cold salads and fresh mozzarella bringing customers from all over the city and Westchester county. The landlord is willing to write a NEW 5 year lease with an ADDITIONAL 5 years, at the ASTONISHING LOW RATE of $ 3,139 a month. The owner needs to retire due to health reasons and believes an engaged owner operator can take this 170K cash flow well over 200K in the first year. Hurry this won’t last long!!!

Financial

  • Asking Price: $375,000
  • Cash Flow: $170,832
  • Gross Revenue: $832,000
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A
Is Support & Training Included:

Seller willing to train new buyer

Purpose For Selling:

Other business interests

Additional Info

The building is leased by the business for $3,139 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons people choose to sell operating businesses. Nevertheless, the real factor vs the one they tell you might be 2 totally different things. For instance, they may say "I have too many various commitments" or "I am retiring". For many sellers, these factors are valid. But also, for some, these might simply be reasons to try to conceal the reality of transforming demographics, increased competitors, recent decrease in revenues, or a range of various other reasons. This is why it is really important that you not count completely on a seller's word, but instead, make use of the seller's answer in conjunction with your total due diligence. This will repaint an extra practical image of the business's current scenario.

Existing Debts and Future Obligations

If the current business is in debt, which numerous companies are, then you will have reason to consider this when valuating/preparing your deal. Numerous operating businesses take out loans so as to cover items like supplies, payroll, accounts payable, etc. Remember that in some cases this can mean that profit margins are too thin. Many organisations fall into a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may also be future commitments to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that should be fulfilled or may result in penalties if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the area draw in brand-new consumers? Many times, operating businesses have repeat consumers, which create the core of their daily profits. Certain aspects such as new competitors sprouting up around the location, roadway building and construction, as well as personnel turnover can affect repeat consumers and also adversely influence future profits. One essential point to think about is the placement of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the main road? Undoubtedly, the more individuals that see the business often, the better the opportunity to develop a returning consumer base. A final idea is the basic area demographics. Is the business located in a largely populated city, or is it situated on the outside border of town? How might the regional median house earnings impact future earnings potential?