Listing ID: 76582
Business Overview
Description:
This popular liquor & Conv. store is located in a neighborhood strip center. This business neighbors with residential housing, which makes it a go-to place for its local residents, and commuters. Ample free parking space in front offers easy egress and ingress. Highly lucrative and sought-after business opportunity. Under same ownership from 1996.
Equipment: 8-door Walk-in cooler, 12-door Reach-in cooler, Cash Register, Icemaker, and much more. A full list of equipment is available with the Listing Broker.
General Information:
Organization: Corporation | Square Footage:2400 sq. ft. | Licenses Required: City Bus Lic, Health Permit, Sellers Permit, Tobacco License, ABC Type-21 Liquor Lic. (Included & Transferable) | Hours: 7am – 9:30pm | Reason for Sale: Retirement |
Lease Information:
Rent: $3500/month gross.
Lease Term: 10yr plus 10yr option.
Revenue: ~$100,000/Month plus $39,000/Year commission income.
(As per Seller. Not verified by Broker)
Financing: SBA/All Cash
All information contained in this document resulted from representations by Seller. Mission Peak Brokers, Inc. and its agents can not and will not verify the accuracy or completeness of any information. Purchasers must verify any such information themselves and should engage legal and financial advisors to assist with the process.
Financial
- Asking Price: $749,000
- Cash Flow: $138,000
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: $120,000
- Inventory Included: N/A
- Established: N/A
Yes. Seller training is part of the deal.
Retirement
Additional Info
The deal doesn't include inventory valued at $120,000*, which ins't included in the suggested price.
The building is leased by the company for $3,500 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons people choose to sell operating businesses. Nonetheless, the real reason and the one they say to you might be 2 completely different things. As an example, they might state "I have way too many other commitments" or "I am retiring". For many sellers, these factors are valid. However, for some, these might just be reasons to try to hide the reality of altering demographics, increased competitors, current reduction in revenues, or a variety of various other factors. This is why it is extremely vital that you not depend completely on a vendor's word, but instead, make use of the vendor's response combined with your overall due diligence. This will repaint a more realistic picture of the business's existing scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Numerous businesses take out loans so as to cover points such as supplies, payroll, accounts payable, so on and so forth. Remember that occasionally this can imply that profit margins are too thin. Lots of businesses fall into a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future commitments to consider. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with vendors that should be met or might result in fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the location draw in new clients? Often times, businesses have repeat clients, which form the core of their daily revenues. Particular aspects such as brand-new competitors sprouting up around the location, roadway building, and also employee turn over can impact repeat clients as well as adversely influence future incomes. One vital point to consider is the area of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Clearly, the more people that see the business regularly, the better the opportunity to develop a returning consumer base. A last idea is the general area demographics. Is the business situated in a largely populated city, or is it located on the outside border of town? Exactly how might the neighborhood median household income impact future earnings potential?
