Business Overview

This established collectible business has created a well-known brand name across many different segments including multiple card types and a wide array of comics. The company’s unique hybrid retail store and online model provides multiple revenue streams which helped it gain momentum through the 2020 pandemic with sales nearly doubling to $5M in 2021 and this trend continuing into 2022. With key distributor relationships in place and its customer base growing daily, this business is ready for new ownership to fully capitalize on the existing platform to expand into additional locations or even franchising. This is an ideal acquisition of an entrepreneur familiar with the collectibles industry or a synergistic buyer who can further leverage the current distributor relationships. The owners are willing to train the new owners in the transition (time negotiable). Financials reflect January through November 2021 numbers. Year established is confidential. It will be disclosed after Confidentiality Agreement is received and approved.

Financial

  • Asking Price: N/A
  • Cash Flow: $415,049
  • Gross Revenue: $4,591,664
  • EBITDA: $415,049
  • FF&E: $58,000
  • Inventory: $2,155,000
  • Inventory Included: Yes
  • Established: 1900

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:14
  • Furniture, Fixtures and Equipment:N/A
Purpose For Selling:

Relocation

Additional Info

The business was started in 1900, making the business 122 years old.
The deal does include inventory valued at $2,155,000, which is included in the suggested price.

Why is the Current Owner Selling The Business?

There are all kinds of reasons why individuals decide to sell operating businesses. Nonetheless, the true factor and the one they tell you may be 2 absolutely different things. As an example, they might say "I have way too many various obligations" or "I am retiring". For lots of sellers, these factors stand. But also, for some, these may simply be reasons to try to conceal the reality of altering demographics, increased competition, recent decrease in incomes, or a range of various other reasons. This is why it is really crucial that you not rely absolutely on a seller's word, but instead, use the vendor's solution in conjunction with your total due diligence. This will paint a much more reasonable image of the business's current situation.

Existing Debts and Future Obligations

If the existing company is in debt, which many companies are, then you will certainly need to consider this when valuating/preparing your offer. Lots of operating businesses finance loans in order to cover points such as inventory, payroll, accounts payable, and so on. Keep in mind that occasionally this can imply that profit margins are too small. Numerous organisations fall into a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may additionally be future obligations to consider. There might be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with suppliers that need to be satisfied or may cause charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do operating businesses in the area attract brand-new clients? Most times, operating businesses have repeat customers, which develop the core of their everyday revenues. Particular elements such as new competitors sprouting up around the location, roadway construction, and also staff turn over can affect repeat consumers and also adversely influence future profits. One crucial point to take into consideration is the area of the business. Is it in a highly trafficked shopping center, or is it hidden from the main road? Undoubtedly, the more individuals that see the business often, the higher the possibility to build a returning customer base. A final thought is the basic location demographics. Is the business located in a densely populated city, or is it located on the edge of town? How might the neighborhood median family earnings influence future earnings prospects?