Listing ID: 77308
Situated in the heart of Los Angeles, this gated 14,000 square ft building has upgraded power panels. Excellent for someone whose looking to take advantage of an ever evolving and growing Cannabis Industry.
Partially built out Micro Business license has been operational since 2019!
This is a social equity license. Per Los Angeles Department of Cannabis Regulations (LADCR) rules, the Social Equity Partner must remain on in an executive capacity and retain an equity stake.
Don’t lose valuable time, this is a turn key solution you will not find anywhere in LA!
Give us a call to tour! NDA’s is mandatory.
- Asking Price: $3,800,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: $1,800,000
- Inventory Included: Yes
- Established: 2019
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:14,000
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
Facility includes built out security room with cameras, fully fenced, Built out rooms, distribution cage, upgraded 600 amps of power, security cameras.
Owner will provide training to ensure smooth transition for new owners.
Pre Existing company out of state.
Currently no more applications for cultivation license in city of Los Angeles. This license can be transferred quickly.
The company was started in 2019, making the business 3 years old.
The sale will include inventory valued at $1,800,000, which is included in the suggested price.
The company has 5 employees and is situated in a building with approx. square footage of 14,000 sq ft.
The property is leased by the company for $19,000 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons individuals decide to sell companies. Nonetheless, the genuine reason vs the one they say to you may be 2 totally different things. For instance, they might say "I have way too many other obligations" or "I am retiring". For lots of sellers, these reasons are valid. But also, for some, these may just be justifications to attempt to hide the reality of changing demographics, increased competitors, recent reduction in revenues, or a variety of various other factors. This is why it is really vital that you not depend absolutely on a seller's word, but rather, utilize the seller's answer along with your total due diligence. This will repaint an extra realistic image of the business's present circumstance.
Existing Debts and Future Obligations
If the existing company is in debt, which numerous companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Many businesses borrow money so as to cover items such as stock, payroll, accounts payable, and so on. Bear in mind that sometimes this can mean that earnings margins are too tight. Lots of businesses fall into a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may also be future obligations to consider. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing contracts with vendors that have to be met or might cause fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area bring in brand-new customers? Often times, operating businesses have repeat consumers, which form the core of their daily revenues. Specific aspects such as new competition growing up around the location, roadway construction, and employee turn over can affect repeat clients as well as negatively influence future incomes. One essential point to think about is the area of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the main road? Certainly, the more individuals that see the business on a regular basis, the higher the opportunity to construct a returning client base. A final idea is the general location demographics. Is the business located in a densely populated city, or is it located on the edge of town? Just how might the local median household income influence future income potential?