Listing ID: 76783
Located on Main street, in the heart of downtown Walsenburg, this 2119 sq ft building, built-in 1890, is currently the busy Southwest Imports selling antiques and gifts. Apartment with 3/4 bath in the back portion. Adjoining antique store buildings on both sides currently for sale with the same owner. This property is located within the Walsenburg census tract and is eligible for an Opportunity Zone Tax Credit which is an incentive for deferral, reduction and potential elimination of certain federal capital gains taxes
- Asking Price: $139,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
2,119 sq. ft. building Built-in 1890 Street Parking
Located on Main street, in the heart of downtown Walsenburg. Adjoining antique store buildings on both sides currently for sale with the same owner. This property is located within the Walsenburg census tract and is eligible for an Opportunity Zone Tax Credit which is an incentive for deferral, reduction and potential elimination of certain federal capital gains taxes.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people decide to sell businesses. Nevertheless, the true factor vs the one they tell you may be 2 absolutely different things. As an example, they may say "I have a lot of other responsibilities" or "I am retiring". For lots of sellers, these factors stand. However, for some, these might just be reasons to attempt to hide the reality of transforming demographics, increased competitors, recent decrease in incomes, or an array of other factors. This is why it is very vital that you not rely completely on a vendor's word, yet instead, use the seller's solution combined with your total due diligence. This will paint an extra realistic image of the business's current circumstance.
Existing Debts and Future Obligations
If the current company is in debt, which numerous businesses are, then you will need to consider this when valuating/preparing your deal. Lots of companies borrow money so as to cover things like stock, payroll, accounts payable, etc. Keep in mind that in some cases this can indicate that profit margins are too small. Lots of companies fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future obligations to consider. There might be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that need to be fulfilled or might lead to fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the area bring in new customers? Often times, operating businesses have repeat customers, which develop the core of their everyday revenues. Specific aspects such as new competition growing up around the area, roadway building, as well as staff turn over can impact repeat clients as well as negatively impact future profits. One crucial point to take into consideration is the location of the business. Is it in a very trafficked shopping center, or is it hidden from the highway? Undoubtedly, the more people that see the business regularly, the greater the possibility to construct a returning consumer base. A last thought is the general location demographics. Is the business placed in a densely inhabited city, or is it situated on the outside border of town? Exactly how might the regional average household earnings effect future earnings potential?