Business Overview

This classic diner from the 1950’s has been fully renovated and is a gem. The wood frame building is designed to look like a trolly car from the past. The inside of the building has been newly pine paneled from floor to ceiling. Updates include electric, lighting, new roof and all new equipment and fixtures. This listing includes the building, the business, all equipment and supplies. It is located on a busy street in the heart of downtown in Cheshire County.

Financial

  • Asking Price: $195,000
  • 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

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:N/A
  • Furniture, Fixtures and Equipment:N/A

Why is the Current Owner Selling The Business?

There are all sorts of reasons people choose to sell operating businesses. Nevertheless, the true factor and the one they say to you may be 2 entirely different things. As an example, they might say "I have way too many various commitments" or "I am retiring". For numerous sellers, these reasons are valid. But, for some, these may just be justifications to try to conceal the reality of transforming demographics, increased competition, current decrease in earnings, or a range of various other factors. This is why it is really essential that you not rely entirely on a vendor's word, yet instead, make use of the seller's solution along with your overall due diligence. This will paint a more realistic image of the business's present circumstance.

Existing Debts and Future Obligations

If the existing entity is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of businesses borrow money so as to cover things like inventory, payroll, accounts payable, so on and so forth. Bear in mind that in some cases this can imply that revenue margins are too tight. Lots of companies come under a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may also be future commitments to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business might have existing contracts with suppliers that need to be satisfied or may result in charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the area attract new consumers? Most times, operating businesses have repeat clients, which form the core of their day-to-day revenues. Specific variables such as brand-new competitors sprouting up around the area, roadway construction, and staff turnover can influence repeat customers and also negatively affect future earnings. One essential point to think about is the location of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Certainly, the more people that see the business often, the greater the opportunity to develop a returning consumer base. A last idea is the general location demographics. Is the business situated in a densely populated city, or is it situated on the edge of town? Just how might the local average household earnings impact future income prospects?