Listing ID: 76294
Beautiful, high-end Liquor Store in the heart of the Denver Tech Center. Upside potential to expand operating hours and increase selection. Insulated location with limited competition nearby and surrounded by commercial and residential development.
– High-end, boutique Liquor Store for sale
– Established location with loyal clientèle
– Strong online presence and great reviews
– Above average HH Income of $120,000
– Ample on-site parking, easy ingress and egress
- Asking Price: $275,000
- Cash Flow: N/A
- Gross Revenue: $1,060,903
- EBITDA: $130,383
- FF&E: N/A
- Inventory: $115,000
- Inventory Included: N/A
- Established: 2010
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:2,452
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
The company was established in 2010, making the business 12 years old.
The transaction shall not include inventory valued at $115,000*, which ins't included in the suggested price.
The business has 3 employees and is situated in a building with approx. square footage of 2,452 sq ft.
The building is leased by the business for $5,315 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons why individuals resolve to sell companies. However, the true reason vs the one they tell you might be 2 entirely different things. For instance, they may state "I have way too many various responsibilities" or "I am retiring". For numerous sellers, these reasons are valid. But, for some, these might just be justifications to attempt to hide the reality of changing demographics, increased competitors, current decrease in profits, or an array of various other factors. This is why it is very vital that you not rely completely on a seller's word, yet instead, make use of the seller's solution in conjunction with your general due diligence. This will paint an extra practical image of the business's present situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous companies are, then you will have reason to consider this when valuating/preparing your offer. Lots of businesses take out loans in order to cover points like inventory, payroll, accounts payable, etc. Keep in mind that in some cases this can imply that earnings margins are too thin. Many businesses come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may likewise be future obligations 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 suppliers that need to be met or may result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the location bring in new consumers? Most times, operating businesses have repeat clients, which form the core of their everyday earnings. Particular aspects such as new competitors sprouting up around the location, roadway building and construction, and personnel turnover can impact repeat consumers and adversely impact future profits. One essential thing to think about is the area of the business. Is it in a very trafficked shopping center, or is it hidden from the highway? Undoubtedly, the more individuals that see the business often, the greater the possibility to develop a returning client base. A final thought is the basic area demographics. Is the business located in a largely populated city, or is it situated on the outside border of town? Just how might the neighborhood average household earnings effect future revenue potential?