Listing ID: 77530
This preschool business offers childcare and educational programs for infants, toddlers, preschoolers. this is a popular center in the region and has a healthy pool of wait listed applicants. The business is transforming into private pay model from contract services to private pay.
This business can be purchased separately or along with real estate as well. This business is licensed for about 135 students and well qualified team of directors and teachers. This school is a great opportunity to convert to a franchise model or bring your own new education system.
State licensing is required to operate this business so the new owner will need to qualify individually. Owner is ready to retire from the business and committed to make a smooth transition.
This is a highly confidential sale so the prospective buyers need to complete NDA and a buyer profile before any information about the business can be shared.
- Asking Price: N/A
- Cash Flow: $300,000
- Gross Revenue: $17,000,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:15
- Furniture, Fixtures and Equipment:N/A
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people resolve to sell businesses. However, the real factor vs the one they tell you might be 2 entirely different things. As an example, they might claim "I have too many various commitments" or "I am retiring". For numerous sellers, these factors stand. However, for some, these might simply be excuses to try to conceal the reality of changing demographics, increased competitors, current decrease in revenues, or a variety of various other reasons. This is why it is very important that you not depend absolutely on a vendor's word, however rather, make use of the vendor's response together with your general due diligence. This will paint a more practical image of the business's current situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which many companies are, then you will certainly need to consider this when valuating/preparing your offer. Numerous companies borrow money so as to cover items like stock, payroll, accounts payable, etc. Bear in mind that in some cases this can imply that revenue margins are too thin. Many organisations fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may additionally be future obligations to consider. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing agreements with suppliers that need to be fulfilled or might result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the location attract new customers? Most times, companies have repeat consumers, which form the core of their day-to-day profits. Particular aspects such as brand-new competitors growing up around the area, road construction, as well as employee turn over can affect repeat customers and also negatively impact future incomes. One vital point to think about is the placement of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more individuals that see the business often, the better the opportunity to build a returning client base. A last thought is the basic location demographics. Is the business located in a largely populated city, or is it situated on the edge of town? Exactly how might the local average family income impact future earnings prospects?