Listing ID: 77092
Noe valley Beauty salon for sale near 24th street full of shopping and dining restaurants. There are 4 spa chairs, 4 nail tables, rooms to do waxing, skincare and other personal service. Other room included are bathroom, kitchen plus Washer and dryer. Landlord spent $50,000 remodeling the floor, paint. Lease amount is $5000
Nestled next to the Mission, Noe Valley has become a family-oriented neighborhood, with good shopping and great dining options.
Stroller pushers and dog walkers jostle along 24th Street, which is stocked with bakeries, wine and cheese shops and relaxed cafes.
- Asking Price: $100,000
- 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
The building is leased by the company for $5,000 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons individuals resolve to sell operating businesses. However, the true reason vs the one they tell you may be 2 totally different things. For instance, they might state "I have way too many other commitments" or "I am retiring". For lots of sellers, these reasons are valid. But also, for some, these may simply be justifications to attempt to conceal the reality of changing demographics, increased competitors, recent reduction in profits, or an array of various other factors. This is why it is really essential that you not rely absolutely on a vendor's word, yet instead, make use of the vendor's solution along with your general due diligence. This will paint a much more realistic image of the business's existing scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which many companies are, then you will need to consider this when valuating/preparing your deal. Many operating businesses borrow money with the purpose of covering items such as stock, payroll, accounts payable, and so on. Remember that occasionally this can imply that revenue margins are too thin. Many companies fall under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may also be future commitments to take into consideration. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that should be fulfilled or may lead to charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the location attract new customers? Most times, operating businesses have repeat clients, which create the core of their daily earnings. Particular factors such as brand-new competition sprouting up around the location, roadway construction, and personnel turnover can affect repeat consumers and also adversely influence future incomes. One crucial thing to think about is the location of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Undoubtedly, the more people that see the business on a regular basis, the better the possibility to develop a returning customer base. A final idea is the general location demographics. Is the business located in a largely inhabited city, or is it situated on the outside border of town? Just how might the regional mean family income influence future revenue potential?