Listing ID: 76753
This is a multi-brand wedding floral business, with a large multiple venue contract in place. Even covid was not able to derail this successful and growing business. This business is perfect for a passionate and creative owner to come in and work with their dream clients on beautiful events. Between the covid backlog of weddings that will take through 2024 to clear, the strong brand reputation in the industry and the exclusive contract that accounts for over 600 floral referrals per year, a new owner will come into a solid cash flowing and growing business, with additional potential revenue streams.
- Asking Price: $350,000
- Cash Flow: $169,435
- Gross Revenue: $988,449
- EBITDA: N/A
- FF&E: $70,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 2001
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:8
- Furniture, Fixtures and Equipment:N/A
Two customer meeting venue and flower storage locations on the front range.
Seller will provide effective training and knowledge transfer to the Buyer in all matters relating to Company operations.
Family obligations and retirement
There are numerous floral businesses on the front range, but not that many specifically focused on wedding. And none of the competition holds the same multiple venue contract.
The wedding industry is booming, but for a new owner who wants to round out the business, having a retail presence again in order to take advantage of the solid brand reputation would be a great path.
The business was established in 2001, making the business 21 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons individuals decide to sell businesses. However, the true factor and the one they say to you may be 2 entirely different things. As an example, they may say "I have too many various commitments" or "I am retiring". For many sellers, these factors stand. However, for some, these may just be excuses to try to hide the reality of transforming demographics, increased competition, current reduction in profits, or an array of various other factors. This is why it is very important that you not rely completely on a vendor's word, however instead, utilize the seller's response along with your general due diligence. This will repaint a more sensible picture of the business's present circumstance.
Existing Debts and Future Obligations
If the current company is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of companies finance loans so as to cover items like inventory, payroll, accounts payable, etc. Keep in mind that sometimes this can imply that revenue margins are too small. Lots of businesses fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may additionally be future obligations to think about. There might be an outstanding lease on tools or the structure where the business resides. The business might have existing contracts with vendors that must be fulfilled or may result in fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area draw in new clients? Many times, businesses have repeat clients, which develop the core of their everyday revenues. Specific aspects such as brand-new competitors sprouting up around the area, road building and construction, and personnel turnover can influence repeat clients and also negatively impact future incomes. One vital thing to take into consideration is the area of the business. Is it in an extremely trafficked shopping center, or is it concealed from the highway? Certainly, the more people that see the business often, the higher the chance to develop a returning customer base. A final thought is the general area demographics. Is the business located in a largely populated city, or is it situated on the edge of town? How might the local average family earnings influence future revenue potential?