Business Overview

This quick serve pizza restaurant has been established 15 years and is well known throughout the city. Growing revenue with sales increasing year over year. The location has super low rent + CAM at $1,850/month. Monthly sales are $88,000. Rent expense accounts for only 2.1% of revenue! Income shown in the ad includes one owner working as a manager. Seller will train Buyer. This is a rare opportunity and will sell quickly, inquire today!

Financial

  • Asking Price: $449,000
  • Cash Flow: $176,027
  • Gross Revenue: $1,088,854
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A
Purpose For Selling:

Other opportunities

Additional Info

The property is leased by the company for $1,850 per Month

Why is the Current Owner Selling The Business?

There are all sorts of reasons people choose to sell businesses. Nonetheless, the genuine reason vs the one they say to you might be 2 completely different things. For instance, they might claim "I have too many various obligations" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these might simply be reasons to attempt to hide the reality of altering demographics, increased competition, recent reduction in profits, or a variety of various other reasons. This is why it is very vital that you not count absolutely on a seller's word, but rather, make use of the vendor's solution in conjunction with your total due diligence. This will repaint a much more realistic image of the business's current scenario.

Existing Debts and Future Obligations

If the existing company is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your deal. Lots of businesses take out loans so as to cover items like supplies, payroll, accounts payable, etc. Remember that in some cases this can indicate that profit margins are too thin. Many organisations fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future commitments to think about. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with suppliers that must be satisfied or may lead to charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the location draw in new customers? Most times, companies have repeat consumers, which form the core of their everyday profits. Specific variables such as brand-new competition sprouting up around the area, road building and construction, as well as employee turnover can affect repeat customers and also adversely impact future incomes. One crucial thing to consider is the location of the business. Is it in a highly trafficked shopping center, or is it hidden from the main road? Obviously, the more people that see the business on a regular basis, the better the chance to develop a returning client base. A last thought is the basic location demographics. Is the business situated in a largely populated city, or is it located on the outskirts of town? Exactly how might the neighborhood average house income effect future earnings potential?