Listing ID: 77492
Currently catering to VA, Military and other local students, this 3057 sq ft beauty school features accredited programs in cosmetology, barbering and esthetician. Location is ideal with other retail and restaurant anchors nearby. With 70+ students, this is a top rated school with 10+ instructors. The location is a new build-out and features a salon-type feel. The school accepts financial aid and VA funding for qualified military and their families. They hold a Title IV Accreditation through NACCAS and are also VA Accredited. A/R and Title IV will be included. Please call agent for details
- Asking Price: $1,400,000
- Cash Flow: $342,960
- Gross Revenue: $1,132,576
- EBITDA: N/A
- FF&E: $100,000
- Inventory: $15,000
- Inventory Included: Yes
- Established: 2008
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:3,057
- Lot Size:N/A
- Total Number of Employees:15
- Furniture, Fixtures and Equipment:N/A
The business was started in 2008, making the business 14 years old.
The deal will include inventory valued at $15,000, which is included in the listing price.
The company has 15 employees and is located in a building with estimated square footage of 3,057 sq ft.
The building is leased by the business for $3,800 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals choose to sell operating businesses. Nevertheless, the real reason and the one they tell you might be 2 totally different things. For instance, they might state "I have too many various obligations" or "I am retiring". For lots of sellers, these factors are valid. But also, for some, these might just be justifications to try to hide the reality of altering demographics, increased competitors, recent decrease in incomes, or an array of various other reasons. This is why it is extremely essential that you not rely totally on a seller's word, however rather, use the vendor's solution combined with your overall due diligence. This will repaint a more realistic picture of the business's present situation.
Existing Debts and Future Obligations
If the current business is in debt, which many companies are, then you will have reason to consider this when valuating/preparing your offer. Numerous businesses finance loans in order to cover points such as stock, payroll, accounts payable, etc. Bear in mind that occasionally this can mean that revenue margins are too tight. Many companies 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 may be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with vendors that have to be fulfilled or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area attract brand-new customers? Many times, companies have repeat clients, which create the core of their day-to-day profits. Particular variables such as brand-new competitors growing up around the area, roadway construction, and also personnel turn over can influence repeat customers and negatively influence future profits. One crucial thing to consider is the area of the business. Is it in a highly trafficked shopping mall, or is it hidden from the main road? Clearly, the more people that see the business on a regular basis, the higher the chance to construct a returning customer base. A final idea is the basic area demographics. Is the business located in a largely inhabited city, or is it located on the outside border of town? Just how might the local typical family income influence future revenue potential?