Listing ID: 77606
Business Overview
Confidential Information Memorandum (CIM) available upon receipt of our short online NDA – visit here: https://pronovapartners.com/engagement/orange-county-childrens-boutique-for-sale/
The Business, with a playful eponymous name was established in January 2012 after developing the concept in an MBA thesis by a marketing professional and registered nurse.
The cheerful, playful store provide a solution for parents seeking safe, high-quality yet affordable clothing, toys and products for babies and children from a convenient, accessible location backed by exemplary customer service.
Since opening, the store has done well year after year at its high-profile location, becoming known by locals, tourists and discriminating parents alike for its friendly, stylish atmosphere and unique products.
Despite COVID-19 shutdowns, the store has maintained sales numbers in thanks to upgrades made last year to the POS system. That investment consolidated instore and online inventory and allowed the easy integration of selling (some) store products on Amazon. This trifecta of sale opportunities saw this business survive and thrive while others faltered.
The successful model and sales strategies have resulted in building a business that the seller no longer needs to oversee daily. As the manager took on responsibilities and succeeded, the Seller embarked on other projects. One of those resulted from relationships developed with suppliers is the wholesale side of the industry. That side of the business is not for sale. However, the Buyer can benefit from those an ongoing business affiliation with the Seller to ensure ease of access to the best in upcoming fashion for kids, at the best prices.
NDA is required ‘LINK ABOVE} to secure comprehensive Confidential Information Memorandum (CIM) crafted by ProNova Partners.
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Financial
- Asking Price: $350,000
- Cash Flow: $140,259
- Gross Revenue: $885,219
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2012
Detailed Information
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
The 1,500 square foot retail space is well-located in a busy outdoor mall, and is located in the same vicinity as some highly popular stores. The popular venue is frequented by tourists and overseas visitors thanks to mall marketing, and that in addition to shopping, there are plentiful restaurants and activities for people to enjoy year-round. The store is located at a high-profile mall that brings in a large number of customers. Because of the multitude of things to do there (dine, relax, play) it not only a popular destination for area shoppers but for tourists as well.
To ensure a smooth transition and ongoing success the Sellers will work with a buyer as needed for three months, and up to six months as on-call consultants, or as negotiated.
The Seller is looking to grow the wholesale side of the business.
There is plentiful competition for retail companies, but the little difference makes a big difference. A few of those include smart, eco-friendly and safe products in demand by today’s parents, as well as offering multiple sales opportunities; at the retail level in a busy, popular shopping mall, and via two online shopping hubs; the company website and Amazon.
Continue adding store products to the online store; increase availability of products on Amazon and supplement all with regular postings to social media with images and links. Additionally, send out regular emails to the database of rewards members on a frequent, pre-scheduled basis.
Additional Info
The company was founded in 2012, making the business 10 years old.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people decide to sell companies. Nevertheless, the true factor vs the one they tell you may be 2 absolutely different things. For instance, they may claim "I have too many various commitments" or "I am retiring". For lots of sellers, these reasons are valid. But, for some, these may simply be excuses to try to hide the reality of altering demographics, increased competitors, recent reduction in earnings, or an array of other reasons. This is why it is extremely crucial that you not rely absolutely on a seller's word, however instead, use the seller's solution in conjunction with your overall due diligence. This will paint a more realistic image of the business's current circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which many companies are, then you will need to consider this when valuating/preparing your deal. Lots of businesses finance loans in order to cover things like stock, payroll, accounts payable, and so on. Keep in mind that in some cases this can indicate that profit margins are too small. Many organisations come under a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future obligations to take into consideration. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that need to be satisfied or may cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location bring in new consumers? Often times, operating businesses have repeat consumers, which form the core of their day-to-day earnings. Specific variables such as new competition sprouting up around the area, road building, and also personnel turn over can influence repeat consumers and negatively influence future profits. One vital thing to think about is the placement of the business. Is it in an extremely trafficked shopping center, or is it concealed from the highway? Clearly, the more individuals that see the business on a regular basis, the higher the possibility to develop a returning consumer base. A last idea is the general location demographics. Is the business located in a densely populated city, or is it located on the edge of town? Exactly how might the regional median house earnings impact future income prospects?
