Listing ID: 79009
ADDRESS: Beverly, Massachusetts, 01915
SIZE; The restaurant has approximately 3,000 square feet of space on the first floor plus basement space.
SPACE: The footprint consists of a bar and lounge, a dining area, kitchen and rest rooms. There is basement space consists of prep area, storage, refrigeration and an office.
CONCEPT: Neighborhood Bistro
SEATING: Licensed for approximately 64 patrons.
PARKING: There is ample parking available.
LICENSE: The restaurant has a 1:00AM Full Liquor License, Live Entertainment License and a Keno License.
HOURS: Open five days a week 4:00PM – 11:00PM
RATIO: Beverage 30% +/- Food 70%+/-
UTILITIES: Gas, electric and water/sewer together are approximately $3,100 mo.
RENT: The base rent is approximately $3,750 mo., NNN
LEASE TERM: There are approximately three (3) years, plus two options of five (5) years each.
TAXES: The real estate taxes are approximately $2,100 quarterly.
SALES: Sales in 2019 were approximately $18,000 weekly/ $936,000 year.
PRICE: The asking price for the business is $210,000.
COMMENTS: The restaurant is adaptable to multiple concepts. Ideal for a chef owner/operator or casual theme concept. Potential for increased sales by expanding the hours of operation and days open.
- Asking Price: $210,000
- 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 people resolve to sell operating businesses. However, the true reason and the one they say to you may be 2 totally different things. As an example, they may state "I have a lot of various responsibilities" or "I am retiring". For lots of sellers, these factors stand. But also, for some, these may simply be justifications to attempt to conceal the reality of altering demographics, increased competition, current decrease in profits, or a variety of other factors. This is why it is really crucial that you not count entirely on a seller's word, but instead, use the vendor's answer together with your general due diligence. This will paint an extra reasonable image of the business's current circumstance.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your deal. Lots of businesses take out loans with the purpose of covering things like supplies, payroll, accounts payable, so on and so forth. Remember that in some cases this can suggest that revenue margins are too tight. Lots of organisations fall under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may additionally be future commitments to consider. There might be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with vendors that should be satisfied or might cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location draw in brand-new consumers? Often times, operating businesses have repeat clients, which develop the core of their everyday profits. Particular factors such as new competitors growing up around the location, roadway building, and also staff turnover can influence repeat customers and negatively affect future revenues. One essential point to consider is the area of the business. Is it in a highly trafficked shopping center, or is it hidden from the main road? Certainly, the more individuals that see the business often, the greater the possibility to develop a returning consumer base. A last thought is the general location demographics. Is the business located in a largely populated city, or is it located on the outskirts of town? Just how might the local average family income influence future revenue prospects?