Business Overview

34 years in business with a brand that has been built with over 5,000 Global book of business clients in their database!

Financial

  • Asking Price: $550,000
  • Cash Flow: $194,000
  • Gross Revenue: $650,000
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A

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:4
  • Furniture, Fixtures and Equipment:N/A
Is Support & Training Included:

4 weeks

Purpose For Selling:

retirement

Why is the Current Owner Selling The Business?

There are all kinds of reasons individuals decide to sell businesses. However, the genuine factor and the one they tell you may be 2 absolutely different things. For instance, they may state "I have way too many various commitments" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these may simply be reasons to attempt to conceal the reality of altering demographics, increased competition, current decrease in incomes, or a variety of other reasons. This is why it is very vital that you not count completely on a vendor's word, but rather, use the vendor's solution combined with your total due diligence. This will repaint an extra sensible picture of the business's current scenario.

Existing Debts and Future Obligations

If the current business is in debt, which many businesses are, then you will need to consider this when valuating/preparing your deal. Numerous operating businesses borrow money in order to cover items like inventory, payroll, accounts payable, etc. Keep in mind that occasionally this can mean that earnings margins are too small. 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 likewise be future obligations to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with vendors that should be satisfied or might result in charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the area attract new clients? Most times, operating businesses have repeat consumers, which create the core of their daily revenues. Particular aspects such as brand-new competitors growing up around the location, roadway building and construction, and employee turnover can impact repeat clients and also adversely affect future revenues. One vital point to think about is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Certainly, the more people that see the business on a regular basis, the better the opportunity to build a returning customer base. A final thought is the general location demographics. Is the business located in a largely populated city, or is it situated on the outside border of town? Just how might the regional average family earnings influence future revenue prospects?