Business Overview

This Bay Area Entertainment Company has 25+ years proudly supplying entertainment rentals, for all types of events and venues. Their expansive client list includes Fortune 500 companies, large colleges, school fundraiser events, community events, exclusive private parties, and municipalities across the Bay Area. The inventory features interactive games, climbing walls, mechanical bulls, and inflatable units of all types. Included is their substantial outdoor inflatable movie division, making these two businesses for one. They are a top recognized company, with a proven track record, that event planners and corporations return to each year. This business is relocatable anywhere in the Bay Area, although the new owner may choose to make this more turnkey, by remaining in the current 3500 sq ft. warehouse, with office, private parking and storage.

ADDITIONAL DETAILS:
• One owner/operator who splits time between office and the field.
• Employees: Varies seasonally from 3-4 during the Winter/Spring and 15-25 during Summer/Fall.
• Seller will consider some financing for a qualified Buyer.
• Seller owns the property and is offering the approx. 3,500 sq. ft. warehouse including an 800 sq. ft. upstairs office plus outside parking for the several vehicles and trailers for $3,500 per month.

PRICE INCLUDES: Furniture, fixtures, equipment, vehicles, covenant not to compete,
goodwill and training period.

Disclaimer: The information provided here is compiled from information obtained by the Seller(s). The broker makes no representation as to its accuracy or reliability. Buyer(s) should rely upon their own verification & that of their financial &/or legal advisors about this information.

Financial

  • Asking Price: $485,000
  • 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

Additional Info

The property is leased by the company for $0.00

Why is the Current Owner Selling The Business?

There are all sorts of reasons people choose to sell businesses. However, the genuine reason and the one they tell you may be 2 absolutely different things. For instance, they may claim "I have way too many various commitments" or "I am retiring". For numerous sellers, these factors are valid. But, for some, these may simply be reasons to try to hide the reality of transforming demographics, increased competition, current reduction in profits, or a range of various other factors. This is why it is very important that you not count entirely on a seller's word, but instead, utilize the seller's answer along with your total due diligence. This will repaint a much more practical picture of the business's current scenario.

Existing Debts and Future Obligations

If the current entity is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Many companies finance loans in order to cover points like stock, payroll, accounts payable, so on and so forth. Keep in mind that occasionally this can indicate that earnings 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 also be future commitments to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with suppliers that have to be satisfied or may lead to charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do operating businesses in the area bring in brand-new customers? Many times, businesses have repeat customers, which create the core of their daily profits. Certain variables such as brand-new competition growing up around the area, roadway building and construction, and staff turnover can affect repeat customers as well as adversely affect future profits. One important thing to consider is the area of the business. Is it in a highly trafficked shopping center, or is it hidden from the highway? Undoubtedly, the more people that see the business regularly, the better the possibility to construct a returning client base. A final idea is the general area demographics. Is the business placed in a densely inhabited city, or is it situated on the outskirts of town? Just how might the local average family income influence future earnings prospects?