Listing ID: 78840
Turn key restaurant available for immediate purchase. Well equipped kitchen and serving area. Two adjacent units are leased by the owner, one hasseating for 40+ for casual family dining. The other unit has a separate kitchen with pizza ovens and equipment. There is also a small stage for entertainment with seating;this space is ideal for special events and can be closed off. Currently serving breakfast and lunch, dinner could be added. Business only
- Asking Price: $45,000
- 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 people choose to sell companies. However, the real factor vs the one they say to you might be 2 absolutely different things. As an example, they may claim "I have a lot of other commitments" or "I am retiring". For numerous sellers, these factors are valid. But also, for some, these might simply be excuses to attempt to hide the reality of transforming demographics, increased competitors, current decrease in earnings, or a variety of other reasons. This is why it is really important that you not count entirely on a seller's word, but instead, use the vendor's answer in conjunction with your overall due diligence. This will paint a much more sensible image of the business's present circumstance.
Existing Debts and Future Obligations
If the existing business is in debt, which many companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of businesses finance loans with the purpose of covering points such as supplies, payroll, accounts payable, etc. Bear in mind that in some cases this can indicate that profit margins are too tight. Numerous businesses fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may also be future commitments to consider. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with vendors that must be fulfilled or may lead to charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location bring in new consumers? Most times, businesses have repeat customers, which form the core of their everyday revenues. Specific variables such as brand-new competition sprouting up around the location, road construction, and personnel turnover can impact repeat consumers as well as adversely affect future revenues. One essential thing to consider is the location of the business. Is it in a very trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more individuals that see the business on a regular basis, the higher the possibility to build a returning client base. A last idea is the basic location demographics. Is the business situated in a largely populated city, or is it located on the edge of town? Exactly how might the regional median house income influence future income prospects?