Listing ID: 78534
Liquor store in Shaw / U Street area. Can operate late hours to capitalize on nightlife in this neighborhood. Perfect for owner/operator who wants a compact and easy-to-manage store in a vibrant part of Washington DC. Class A retail license. Central address and valuable DC location for delivery services and online sales – smaller space but very low rent – great way to get on the map. Quoted price does not include inventory.
- Asking Price: $299,000
- Cash Flow: $150,000
- Gross Revenue: $967,486
- EBITDA: N/A
- FF&E: $12,000
- Inventory: $200,000
- Inventory Included: N/A
- Established: N/A
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:400
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
other business ventures
The transaction shall not include inventory valued at $200,000*, which ins't included in the asking price.
The business has 5 employees and is situated in a building with estimated square footage of 400 sq ft.
The property is leased by the company for $2,600 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons individuals decide to sell operating businesses. Nonetheless, the genuine factor and the one they tell you might be 2 completely different things. For instance, they might say "I have too many various commitments" or "I am retiring". For numerous sellers, these factors stand. However, for some, these may simply be excuses to try to conceal the reality of changing demographics, increased competition, recent reduction in revenues, or an array of various other reasons. This is why it is really important that you not rely entirely on a vendor's word, but rather, make use of the seller's response along with your overall due diligence. This will paint an extra sensible image of the business's current situation.
Existing Debts and Future Obligations
If the current entity is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your offer. Many companies take out loans with the purpose of covering points such as stock, payroll, accounts payable, and so on. Bear in mind that in some cases this can mean that earnings margins are too small. Many businesses 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 commitments 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 suppliers that should be met or might cause fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the location draw in brand-new clients? Often times, companies have repeat clients, which form the core of their daily revenues. Particular elements such as new competition sprouting up around the location, roadway construction, and also staff turnover can influence repeat consumers and adversely impact future profits. One important thing to take into consideration is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Clearly, the more people that see the business on a regular basis, the higher the opportunity to construct a returning client base. A final idea is the general location demographics. Is the business situated in a densely inhabited city, or is it situated on the outside border of town? How might the local typical family earnings effect future earnings potential?