Listing ID: 78990
A Quick Serve concept located in the Medford/Malden Area. Very busy during Covid and continues to increase sales.
LOCATION: Medford/Malden Area
SPACE: Approximately 1,700 square feet. The space has an order counter, kitchen area and storage room with refrigeration.
CONCEPT: Quick Service Restaurant
HOURS: Open daily 11:30AM – Midnight
LICENSE: The restaurant has a Common Victuallers License.
LEASE TERM: There are approximately five (5) years remaining. The landlord may consider a long-term lease.
BASE RENT: The current rent is $3,800 mo., NNN / $45,600 year, NNN
SALES: This type of concept has done very well despite Covid-19. Sales in 2020 were $1,747,000. Sales in 2021 are projected to be $1,800,000.
COMMENTS: a local favorite for many years. Ideal opportunity for a working owner/operator.
PRICE: The asking price for the business is $550,000.
Information is from sources that we deem reliable. No representation is made as to the accuracy of any information provided. Offering is subject to prior sale, lease, or withdrawal without notice or change in prices and condition
- Asking Price: $550,000
- 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 types of reasons why individuals resolve to sell companies. However, the real factor and the one they tell you may be 2 completely different things. For instance, they may claim "I have a lot of various responsibilities" or "I am retiring". For lots of sellers, these reasons stand. But, for some, these may just be justifications to try to conceal the reality of transforming demographics, increased competitors, recent reduction in profits, or a range of various other factors. This is why it is extremely crucial that you not rely totally on a seller's word, however instead, utilize the vendor's answer together with your total due diligence. This will repaint a much more reasonable picture of the business's present circumstance.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your deal. Numerous businesses borrow money with the purpose of covering points like inventory, payroll, accounts payable, and so on. Remember that occasionally this can imply that revenue margins are too tight. Many organisations fall into a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may also be future obligations to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with vendors that must be met or might lead to penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area draw in brand-new clients? Most times, operating businesses have repeat customers, which form the core of their everyday profits. Particular variables such as new competition sprouting up around the location, roadway building, and personnel turn over can influence repeat customers as well as adversely affect future incomes. One important point to think about is the location of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the highway? Undoubtedly, the more individuals that see the business often, the better the opportunity to build a returning consumer base. A last thought is the general location demographics. Is the business located in a densely populated city, or is it situated on the edge of town? Just how might the regional typical family income impact future earnings potential?