Listing ID: 77417
Listing # – 5150 HP
This is a great barbershop if you’re looking for an income-generating barbershop in North Hollywood.
This barbershop is rated 4.5 stars on yelp.
Located in a high-income neighborhood.
It has 10 stations and a private treatment room which are spread out throughout the 1,500 square foot space.
There are four talented barbers/stylists at Rented Station for $1,000 per month.
A private treatment room is rented for $1300 per month for an esthetician.
You must visit the shop to appreciate the built out and location.
Plenty of parking in the front and back parking lots.
This business is located in a busy shopping center.
Seller will provide training.
The seller is highly motivated, and this shop is priced to sell.
Won’t last long.
- Asking Price: $149,000
- Cash Flow: $98,400
- Gross Revenue: $147,600
- EBITDA: N/A
- FF&E: $20,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 2018
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,500
- Lot Size:N/A
- Total Number of Employees:1
- Furniture, Fixtures and Equipment:N/A
Moving Out of State
The company was started in 2018, making the business 4 years old.
The business has 1 employees and resides in a building with approx. square footage of 1,500 sq ft.
The real estate is leased by the business for $3,100 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons individuals decide to sell companies. However, the real reason and the one they tell you might be 2 completely different things. As an example, they may say "I have way too many other obligations" or "I am retiring". For many sellers, these factors stand. But also, for some, these might just be excuses to attempt to conceal the reality of altering demographics, increased competition, current reduction in incomes, or a range of other factors. This is why it is very essential that you not depend completely on a seller's word, however rather, utilize the vendor's response combined with your total due diligence. This will paint a much more sensible picture of the business's current scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of operating businesses finance loans so as to cover things such as inventory, payroll, accounts payable, so on and so forth. Keep in mind that sometimes this can suggest that profit margins are too tight. Numerous businesses come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may additionally be future commitments to consider. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with vendors that need to be satisfied or may result in penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area draw in brand-new customers? Often times, companies have repeat consumers, which create the core of their day-to-day earnings. Certain factors such as brand-new competition sprouting up around the location, roadway construction, as well as staff turnover can influence repeat consumers and adversely impact future profits. One important point to consider is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Undoubtedly, the more individuals that see the business often, the greater the chance to build a returning customer base. A last thought is the basic area demographics. Is the business situated in a largely inhabited city, or is it located on the edge of town? How might the regional median family earnings impact future earnings potential?