Listing ID: 77571
BUSINESS FOR SALE ONLY, 2 stores (Southington), Profitable Business, Store 1 ($850K/YR SALE, 1557 sf, 3-year lease (until Aug 2022) with FOUR 5-year options, $1820/Mon rent), Store 2 (NEW STORE, $480K/YR SALE, 1680 sf, 5-year lease (7/1/20-6/30/25) with THREE 5-year options, $1550/Mon rent), Both Stores in Heavy Traffic Area, OPEN HOURS (6 am to 2 pm), Store 1 (6 Days OPEN, Closed MONDAY, Store 2: 7 Days OPEN), INVENTORY NOT INCLUDED
- Asking Price: $600,000
- Cash Flow: N/A
- Gross Revenue: $1,330,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2016
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,557
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Equipment list is available.
Will train and support the buyer and length will be negotiable.
Need to move to South to take care of Mother.
Well established business at 1st store. 2nd store was opened a little more than 1 year and is growing fast. 1st store opens 6 days and 2nd store opens 7 days with 6am to 2pm. 7 days open with longer hours will have much bigger sales.
The company was established in 2016, making the business 6 years old.
The real estate is leased by the company for $1,820 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons why individuals decide to sell operating businesses. Nevertheless, the genuine factor and the one they say to you may be 2 completely different things. As an example, they might claim "I have a lot of various responsibilities" or "I am retiring". For numerous sellers, these factors are valid. But also, for some, these might just be justifications to attempt to conceal the reality of transforming demographics, increased competition, current decrease in revenues, or a range of other factors. This is why it is extremely important that you not depend entirely on a vendor's word, yet rather, make use of the vendor's solution in conjunction with your general due diligence. This will paint a much more realistic picture of the business's present circumstance.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Numerous operating businesses borrow money in order to cover things such as inventory, payroll, accounts payable, etc. Keep in mind that sometimes this can indicate that profit margins are too small. Numerous companies fall into a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may additionally be future obligations to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with vendors that need to be satisfied or might result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the area attract brand-new consumers? Most times, businesses have repeat clients, which create the core of their day-to-day profits. Particular elements such as brand-new competitors growing up around the area, roadway building and construction, and staff turnover can affect repeat customers as well as negatively impact future earnings. One crucial thing to consider is the location of the business. Is it in a highly trafficked shopping mall, or is it hidden from the main road? Obviously, the more individuals that see the business often, the greater the possibility to construct a returning customer base. A last idea is the general area demographics. Is the business situated in a densely populated city, or is it situated on the outside border of town? Exactly how might the regional average house income influence future revenue potential?