Listing ID: 76819
Contact business broker for more information regarding this well-established and profitable custom pool and spa builder business for sale located in the Orange County area of Southern California.
This well-established, highly profitable pool and spa business was founded by the owner in 1978 and has built a reputation as the area’s leading builder of luxury, custom pools, and spas. The business had solid revenue growth over the last three years with over $3.2 Million in sales in 2020 and the Southern California housing market continues to drive demand to support continued growth.
Construction services include new construction and remodels of luxury, custom pools and spas, decking, fountains, fire pits, BBQs, fireplaces, rock slides, rock waterfalls and landscaping. Maintenance services include weekly pool service, pool inspections, tile repairs, equipment upgrades, resurfacing and repairs, mastic repairs, acid washes, leak detection and repair.
Seller is ready to retire but is willing to stay on in a sales support role to help with transition if buyer wishes. Contact business broker to complete Non-Disclosure Agreement and receive more information regarding this luxury and custom pool builder business for sale located in the Orange County area of Southern California.
- Asking Price: $750,000
- Cash Flow: $285,000
- Gross Revenue: $3,500,000
- EBITDA: N/A
- FF&E: $5,000
- Inventory: $5,000
- Inventory Included: Yes
- Established: 1987
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,290
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
4 weeks at 20 hours per week
The company was started in 1987, making the business 35 years old.
The sale shall include inventory valued at $5,000, which is included in the listing price.
The company has 5 employees and is located in a building with estimated square footage of 1,290 sq ft.
The building is leased by the company for $1,495 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons people choose to sell companies. Nevertheless, the real reason vs the one they say to you may be 2 totally different things. As an example, they might say "I have a lot of other obligations" or "I am retiring". For many sellers, these factors stand. But also, for some, these might simply be reasons to try to hide the reality of changing demographics, increased competition, recent reduction in incomes, or a variety of other reasons. This is why it is very crucial that you not rely entirely on a vendor's word, but instead, utilize the vendor's solution combined with your total due diligence. This will paint a much more practical image of the business's current scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous companies are, then you will have reason to consider this when valuating/preparing your deal. Lots of businesses borrow money in order to cover points such as supplies, payroll, accounts payable, etc. Remember that occasionally this can indicate that earnings margins are too thin. Many companies come 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 think about. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing agreements with vendors that need to be fulfilled or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location draw in new consumers? Many times, businesses have repeat customers, which form the core of their daily revenues. Specific variables such as brand-new competition sprouting up around the area, roadway building and construction, as well as staff turn over can affect repeat consumers and also adversely impact future revenues. One crucial thing to take into consideration is the placement of the business. Is it in a very trafficked shopping center, or is it concealed from the main road? Clearly, the more individuals that see the business on a regular basis, the higher the opportunity to develop a returning client base. A final idea is the general area demographics. Is the business situated in a densely inhabited city, or is it situated on the outskirts of town? How might the regional mean house income influence future revenue prospects?