Listing ID: 78749
This well-established rural store is a cornerstone of the community and provides a wide range of products including groceries, quick-serve food, hardware, gifts and household items. In addition to the main store, the business also offers a laundromat and redemption center.
- Asking Price: $300,000
- Cash Flow: $325,000
- Gross Revenue: $26,900,000
- EBITDA: N/A
- FF&E: $100,000
- Inventory: $250,000
- Inventory Included: N/A
- Established: 1950
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:8,000
- Lot Size:N/A
- Total Number of Employees:6
- Furniture, Fixtures and Equipment:N/A
The business occupies two adjacent buildings; the main building contains the market, and the secondary building houses the laundromat and redemption operation.
The seller will provide transitional training to a new owner.
Seller desires to spend more time pursuing other opportunities.
The business caters to the local, year-round population with a broad selection of product categories to meet day-to-day needs, while it also enjoying a seasonal boost in sales from area visitors. The business is open 365 days and is an essential part of the community and region.
The business has enjoyed a stable history of revenue and profitability. Over the last year the product mix has changed, increasing bottom line earnings. The business is expected to continue it’s
The company was founded in 1950, making the business 72 years old.
The transaction won't include inventory valued at $250,000*, which ins't included in the suggested price.
The company has 6 FT / 6 PT employees and is located in a building with estimated square footage of 8,000 sq ft.
Why is the Current Owner Selling The Business?
There are all types of reasons people choose to sell operating businesses. However, the genuine factor vs the one they say to you might be 2 entirely different things. For instance, they may claim "I have a lot of other commitments" or "I am retiring". For lots of sellers, these factors stand. However, for some, these might simply be excuses to try to conceal the reality of transforming demographics, increased competition, recent decrease in profits, or an array of other reasons. This is why it is very vital that you not rely completely on a vendor's word, however instead, utilize the vendor's response combined with your total due diligence. This will repaint an extra reasonable picture of the business's present situation.
Existing Debts and Future Obligations
If the current business is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your offer. Many businesses take out loans with the purpose of covering things like inventory, payroll, accounts payable, so on and so forth. Bear in mind that occasionally this can mean that revenue margins are too small. Numerous organisations come under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future obligations to think about. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with suppliers that should be fulfilled or might result in penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area attract new clients? Often times, businesses have repeat clients, which create the core of their day-to-day earnings. Certain variables such as new competition growing up around the area, roadway building and construction, and personnel turn over can influence repeat customers and negatively impact future earnings. One important thing to consider is the area of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Certainly, the more people that see the business often, the greater the opportunity to build a returning consumer base. A last thought is the general location demographics. Is the business placed in a densely populated city, or is it situated on the outskirts of town? Just how might the local average family income impact future earnings prospects?