Listing ID: 76080
Profitable laundromat Business with 60 WASHER AND 60 Dryers on Very Busy Down Town in High Dense Residential area a Commercial Area. There is great Potential for Growth is no direct competitor nearby. 120 Machines. Machines are about 10 years old. 25 Year Lease.
$3,200 Gas & Elect.
- Asking Price: $895,000
- Cash Flow: $200,000
- Gross Revenue: $416,000
- EBITDA: N/A
- FF&E: $350,000
- Inventory: $5,000
- Inventory Included: N/A
- Established: 2002
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:5,000
- Lot Size:N/A
- Total Number of Employees:4
- Furniture, Fixtures and Equipment:N/A
The business was founded in 2002, making the business 20 years old.
The transaction won't include inventory valued at $5,000*, which ins't included in the suggested price.
The company has 4 employees and is situated in a building with disclosed square footage of 5,000 sq ft.
The building is leased by the business for $7,000 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons why people resolve to sell operating businesses. Nevertheless, the true reason vs the one they say to you might be 2 completely different things. For instance, they may state "I have way too many various obligations" or "I am retiring". For many sellers, these reasons are valid. However, for some, these might just be justifications to try to hide the reality of transforming demographics, increased competitors, current reduction in revenues, or an array of various other factors. This is why it is very crucial that you not rely totally on a vendor's word, but instead, utilize the seller's response in conjunction with your general due diligence. This will paint a more sensible image of the business's current circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which numerous businesses are, then you will need to consider this when valuating/preparing your offer. Lots of businesses finance loans with the purpose of covering things such as supplies, payroll, accounts payable, so on and so forth. Bear in mind that in some cases this can indicate that earnings margins are too thin. Lots of businesses come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may additionally be future obligations to think about. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that have to be satisfied or may result in charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area attract brand-new customers? Most times, businesses have repeat clients, which form the core of their everyday earnings. Specific variables such as brand-new competition sprouting up around the area, road building, and staff turnover can impact repeat clients and also negatively influence future incomes. One vital point to think about is the location of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Clearly, the more people that see the business often, the higher the opportunity to develop a returning customer base. A final thought is the basic location demographics. Is the business situated in a largely inhabited city, or is it located on the outside border of town? Exactly how might the regional median household income effect future income potential?