Listing ID: 77522
This essential business is one of a kind in the high desert. Specializing in multiple lines of high quality home improvements, this business stays busy all year long. Many years as the only or primary provider of their improvements provides goodwill and a great reputation for exceptional service.
A showroom allows clients to choose from a wide variety of improvements which are expertly designed and installed by a seasoned crew of installers. Land and building are also available under separate contract.
CSLB B or C license required.
Showroom and shop freestanding on commercial lot.
- Asking Price: $500,000
- Cash Flow: $235,192
- Gross Revenue: $1,303,730
- EBITDA: N/A
- FF&E: $11,000
- Inventory: $30,000
- Inventory Included: Yes
- Established: 1985
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1
- Lot Size:N/A
- Total Number of Employees:10
- Furniture, Fixtures and Equipment:N/A
The company was started in 1985, making the business 37 years old.
The sale shall include inventory valued at $30,000, which is included in the listing price.
The business has 10 employees and is situated in a building with estimated square footage of 1 sq ft.
The real estate is leased by the business for $2,000 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons individuals choose to sell businesses. Nevertheless, the true factor and the one they say to you might be 2 totally different things. For instance, they might claim "I have way too many other commitments" or "I am retiring". For many sellers, these factors are valid. However, for some, these may simply be reasons to try to hide the reality of transforming demographics, increased competition, recent reduction in earnings, or an array of other reasons. This is why it is very crucial that you not depend completely on a seller's word, but rather, make use of the vendor's response combined with your overall due diligence. This will paint a much more realistic image of the business's present situation.
Existing Debts and Future Obligations
If the existing business is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your offer. Lots of operating businesses finance loans in order to cover things like stock, payroll, accounts payable, and so on. Bear in mind that occasionally this can mean that profit margins are too thin. Many businesses 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 obligations to consider. There may be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with suppliers that must be satisfied or may cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the location bring in new clients? Most times, businesses have repeat clients, which create the core of their everyday earnings. Specific factors such as new competition growing up around the area, road building and construction, as well as personnel turnover can influence repeat consumers and negatively impact future profits. One crucial point to take into consideration is the location of the business. Is it in a highly trafficked shopping mall, or is it hidden from the highway? Certainly, the more individuals that see the business on a regular basis, the better the opportunity to build a returning client base. A last idea is the general area demographics. Is the business situated in a largely inhabited city, or is it located on the edge of town? How might the regional typical house earnings influence future earnings potential?