Listing ID: 78647
SELLER OPEN TO EARN OUT SALES STRUCTURE: This is a great opportunity to enter the cleaning industry at a low cost. Purchasing a franchise model or starting website from scratch could easily cost much more. This business was started by a Maryland entrepreneur but later sold off to the current owner. The current owner is also a cleaning entrepreneur but would like to focus on her primary business holdings rather than try to operate multiple brands at the same time. For past business performance details, please send in your inquiry. Once the NDA is signed, a phone conference can be arranged with the current owner.
Questions and Answers:
What year did the Seller purchase CharmClean? Answer: June 1, 2017
How long did the previous owner own CharmClean? Answer: One year. He was a firefighter.
Did the previous owner start ChearmClean? Yes, with another partner.
When was the last website update / rebranding? 2019
What were total sales in 2019? My Marketing Agreement text indicates gross sales of $60,000 in 2019 with a net of $30,000?
How many contract cleaning staff supported the CharmClean work pipeline? Answer: Yes (9-10 part time contractors).
Are these contractors still available and can their contacts be shared with a Buyer at closing? We closed business in March. We could share contact information with buyers.
What marketing services will transfer with the business and why are no new clients being booked if the website is live? Social Media Profiles (I can do a report on this) / Bidding Templates / Price Schedule / Email Automations and Content Copy/ Social Media templates to post, engage and interact to lead generation.
What is the primary method for marketing your cleaning services? Digital marketing? Digital, referrals, and printing. 80% Digital
How much cleaning equipment / inventory can be transferred to a Buyer, and can you also be a supplier of cleaning materials for the new Buyer until the new Buyer is established? If buyer are going to go with the contractor model they will provide the supplies. If buyer want to go with employee model we have Spartan Concentrated Cleaning Products / Disinfectants / Fogging Machine / Carpet Cleaning Machine / Commercial Mops
Will you be in competition with the Buyer and how can that be limited? My other business operates in DC Metro Area. Buyer can locate the business any location nationwide.
What was the original geographic target area for CharmClean? Baltimore.
- Asking Price: $85,000
- Cash Flow: N/A
- Gross Revenue: $60,000
- EBITDA: N/A
- FF&E: $85,000
- Inventory: $1,000
- Inventory Included: Yes
- Established: 2016
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:9
- Furniture, Fixtures and Equipment:N/A
Seller willing to provide coaching and support as a negotiable item.
Focus on Primary Business
The is a great opportunity to own a past successful cleaning business brand that is not a franchise. This brand could be developed into a new franchise and/or expanded into other areas of the country.
This Business Is Home Based
The company was started in 2016, making the business 6 years old.
The deal will include inventory valued at $1,000, which is included in the asking price.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals decide to sell operating businesses. Nonetheless, the real factor vs the one they say to you may be 2 completely different things. As an example, they may say "I have too many other obligations" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these may just be excuses to try to hide the reality of changing demographics, increased competitors, recent reduction in earnings, or an array of various other reasons. This is why it is really vital that you not rely completely on a seller's word, but instead, use the vendor's answer along with your total due diligence. This will repaint a more reasonable image of the business's present circumstance.
Existing Debts and Future Obligations
If the existing company is in debt, which lots of businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of businesses finance loans in order to cover points such as inventory, payroll, accounts payable, and so on. Bear in mind that sometimes this can imply that revenue margins are too small. Numerous organisations fall into a revolving door of taking loans as a way to pay back other loans. Along with 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 might have existing contracts with suppliers that should be met or may result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the location draw in new clients? Often times, businesses have repeat clients, which develop the core of their daily profits. Certain aspects such as new competition growing up around the location, roadway building, and employee turnover can impact repeat customers and also adversely influence future revenues. One vital point to take into consideration is the placement of the business. Is it in a very trafficked shopping center, or is it hidden from the main road? Undoubtedly, the more individuals that see the business regularly, the higher the chance to construct a returning customer base. A last idea is the general area demographics. Is the business located in a densely populated city, or is it located on the edge of town? Just how might the neighborhood average home earnings influence future revenue potential?