Business Overview

This Salon and Barber Shop combo for sale is established with good brand value and reputation and has good profits and the potential for growth. The salon is currently fully occupied with estheticians that are highly skilled, which goes hand in hand with the high reviews and referrals given by their customers. This business also has a profitable barber shop located adjacent to the salon that is included in the sale.

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  • Asking Price: $295,000
  • Cash Flow: $136,406
  • Gross Revenue: $266,486
  • FF&E: $27,750
  • Inventory: $5,000
  • Inventory Included: Yes
  • Established: N/A
About The Facility:

2440 SF in a strip center location.

Is Support & Training Included:

4 weeks included

Purpose For Selling:

Moving out of state

Additional Info

The deal does include inventory valued at $5,000, which is included in the asking price.

Why is the Current Owner Selling The Business?

There are all kinds of reasons why individuals choose to sell businesses. Nonetheless, the true factor and the one they say to you may be 2 totally different things. For instance, they might say "I have way too many various commitments" or "I am retiring". For lots of sellers, these reasons stand. However, for some, these may just be reasons to attempt to conceal the reality of altering demographics, increased competitors, recent reduction in incomes, or an array of various other factors. This is why it is really crucial that you not depend absolutely on a seller's word, but rather, use the vendor's solution in conjunction with your overall due diligence. This will paint a much more practical image of the business's current circumstance.

Existing Debts and Future Obligations

If the existing business is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your offer. Numerous businesses take out loans with the purpose of covering points like stock, payroll, accounts payable, etc. Remember that occasionally this can suggest that revenue margins are too small. Many organisations fall under a revolving door of taking on debt as a way to pay back other loans. Along with 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 agreements with suppliers that need to be fulfilled or might cause charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do companies in the location attract new clients? Many times, companies have repeat consumers, which form the core of their everyday profits. Particular factors such as brand-new competitors sprouting up around the area, road construction, as well as personnel turnover can affect repeat customers and also adversely influence future incomes. One important point to think about is the placement of the business. Is it in a highly trafficked shopping mall, or is it concealed from the highway? Obviously, the more people that see the business regularly, the better the possibility to construct a returning customer base. A final thought is the general location demographics. Is the business situated in a densely populated city, or is it situated on the outskirts of town? How might the local average home earnings impact future earnings potential?