Listing ID: 76490
“Starting at the ground up” is not a joke at this business since that is what they do by providing design recommendations and performing observations and testing at the construction sites. This business has come out of the pandemic and into the second quarter of the fiscal year already totaling over $1.5M of in-place contracts. The business has over 40 years of service and an experienced management team in place.
Inquire for more details and learn how you can buy a business for as little as 10% down on qualified SBA listings or how to use creative financing options to get a deal done! At Transworld Business Advisors, we are the most active business brokerage in the country – listing and selling the most businesses in the state. Get added to our buyer list today to receive notifications as businesses with your criteria hit the market!
- Asking Price: $600,000
- Cash Flow: $259,816
- Gross Revenue: $1,484,471
- EBITDA: N/A
- FF&E: $200,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 1979
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:20
- Furniture, Fixtures and Equipment:N/A
12,000 Square Feet in an Office Building with a Lab.
The company was established in 1979, making the business 43 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons people resolve to sell operating businesses. Nonetheless, the true reason vs the one they tell you may be 2 completely different things. For instance, they may say "I have way too many various commitments" or "I am retiring". For many sellers, these reasons are valid. But, for some, these might simply be reasons to try to conceal the reality of altering demographics, increased competition, current decrease in incomes, or an array of other reasons. This is why it is extremely essential that you not rely totally on a vendor's word, however instead, use the seller's answer combined with your total due diligence. This will repaint a more practical image of the business's current scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your offer. Many operating businesses take out loans so as to cover items such as inventory, payroll, accounts payable, and so on. Bear in mind that sometimes this can imply that revenue margins are too small. Numerous companies fall into a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may also be future obligations to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing agreements with suppliers that need to be satisfied or may result in penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location draw in brand-new consumers? Most times, businesses have repeat clients, which create the core of their day-to-day earnings. Specific elements such as brand-new competitors sprouting up around the area, roadway building and construction, as well as staff turnover can affect repeat consumers and negatively influence future incomes. One essential point to consider is the placement of the business. Is it in a very trafficked shopping center, or is it concealed from the main road? Obviously, the more individuals that see the business regularly, the better the opportunity to construct a returning customer base. A final thought is the general location demographics. Is the business placed in a densely populated city, or is it located on the outskirts of town? Just how might the regional average family income influence future revenue potential?