Listing ID: 76086
This Pizzeria in Howell Township In a busy strip center on an extremely busy road. National tenants surround this extremely busy area. Mostly Pizza very little dining semi absentee gross sales are $24,000 per week with an extremely low rent of 5200 all inclusive Of real estate taxes and cam. The store next 200000 + and the owner was asking under 550 . Please register on a website for free or if you are already registered and have a valid non-disclosure with us please call your agent 631 271 1731
- Asking Price: $548,000
- Cash Flow: $211,600
- Gross Revenue: $1,248,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
Seller willing to train new buyer
Other business interests
The real estate is leased by the business for $4,333 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons individuals decide to sell operating businesses. However, the genuine factor and the one they tell you may be 2 absolutely different things. For instance, they may say "I have way too many various obligations" or "I am retiring". For lots of sellers, these factors are valid. But also, for some, these might just be reasons to try to conceal the reality of altering demographics, increased competitors, recent reduction in revenues, or a variety of other reasons. This is why it is very crucial that you not count entirely on a vendor's word, however instead, make use of the seller's answer combined with your overall due diligence. This will paint an extra realistic picture of the business's existing scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your offer. Many companies finance loans in order to cover things such as stock, payroll, accounts payable, and so on. Bear in mind that in some cases this can mean that earnings margins are too thin. Many businesses come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may likewise be future obligations to take into consideration. There might be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that need to be fulfilled or might lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the location attract new customers? Many times, operating businesses have repeat clients, which develop the core of their everyday earnings. Particular aspects such as new competitors growing up around the location, road building and construction, and also personnel turn over can affect repeat customers as well as adversely impact future profits. One essential thing to think about is the placement of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business on a regular basis, the higher the possibility to build a returning client base. A final thought is the basic location demographics. Is the business placed in a densely populated city, or is it situated on the outskirts of town? Exactly how might the regional typical family income effect future income prospects?