Business Overview

US MART Convenience Store. Busy location on Hanover Hill, high traffic area. No competitor nearby. High gross and net. Clean tore, very busy. hours 7 am-9 pm. Basement storage. State of the art digital cash register. Call for more info or personal showing.

Financial

  • Asking Price: $120,000
  • Cash Flow: N/A
  • Gross Revenue: N/A
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A

Why is the Current Owner Selling The Business?

There are all sorts of reasons individuals resolve to sell businesses. Nonetheless, the true reason vs the one they say to you might be 2 totally different things. For instance, they may say "I have too many various responsibilities" or "I am retiring". For lots of sellers, these reasons are valid. However, for some, these may just be excuses to try to conceal the reality of altering demographics, increased competitors, recent reduction in revenues, or a range of various other reasons. This is why it is extremely vital that you not depend completely on a seller's word, yet rather, utilize the seller's answer along with your general due diligence. This will paint a much more reasonable image of the business's present circumstance.

Existing Debts and Future Obligations

If the current business is in debt, which many companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Numerous companies take out loans with the purpose of covering things like stock, payroll, accounts payable, and so on. Bear in mind that in some cases this can indicate that profit margins are too thin. Numerous organisations come under a revolving door of taking on debt as a way to pay back 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 might have existing agreements with suppliers that need to be met or may cause fines if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the location draw in new consumers? Many times, operating businesses have repeat consumers, which form the core of their daily profits. Particular elements such as brand-new competitors growing up around the location, roadway building and construction, and employee turn over can impact repeat customers and negatively influence future earnings. One important point to think about is the location of the business. Is it in a very trafficked shopping mall, or is it concealed from the main road? Obviously, the more people that see the business regularly, the better the chance to build a returning consumer base. A last idea is the basic area demographics. Is the business situated in a densely populated city, or is it situated on the edge of town? How might the local median household income effect future earnings prospects?