Listing ID: 79021
ADDRESS: Cambridge, Massachusetts 02140
LOCATION: Located by Porter Square and Harvard Square.
HISTORY: Opened, as a new build out a few years ago.
SPACE: Approximately 2,500 square feet, plus a full basement for prep and storage.
PARKING: There is on-street parking.
SEATING: There is seating for 70 patrons, plus outdoor seating.
HOURS: Currently open 6 days a week from 11:30AM until 11:00PM.
LICENSES: There is a Beer & Wine License with service available until 11:00 PM
CONDITION: The restaurant appears to be well maintained.
SALES: Historic sales have been in excess of $1,500,000.
LEASE TERM: There are approximately 3 years remaining, plus two (2) options of (5) years each.
RENT: The base rent is $8,695 mo., NNN / $104,340 year, NNN
COMMENT: This is a perfect location for any concept given the location and the quality of the improvements.
PRICE: The asking price for the assets of the business is $380,000.
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 conditions.
- Asking Price: $380,000
- 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 why individuals resolve to sell operating businesses. However, the real reason and the one they say to you may be 2 completely different things. As an example, they may claim "I have too many other responsibilities" or "I am retiring". For numerous sellers, these factors are valid. But, for some, these might simply be excuses to try to conceal the reality of changing demographics, increased competitors, current decrease in revenues, or a range of various other factors. This is why it is extremely crucial that you not count completely on a vendor's word, yet rather, utilize the vendor's answer combined with your total due diligence. This will paint a much more reasonable picture of the business's present situation.
Existing Debts and Future Obligations
If the current business is in debt, which many businesses are, then you will certainly need to consider this when valuating/preparing your deal. Numerous businesses take out loans with the purpose of covering items like stock, payroll, accounts payable, etc. Bear in mind that in some cases this can indicate that earnings margins are too tight. Many organisations come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future obligations to consider. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that have to be fulfilled or may cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area attract brand-new clients? Often times, companies have repeat customers, which create the core of their everyday earnings. Specific variables such as brand-new competition growing up around the location, roadway building, and employee turn over can influence repeat consumers as well as adversely affect future incomes. One crucial point to consider is the location of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Certainly, the more people that see the business often, the better the possibility to construct a returning customer base. A final idea is the basic area demographics. Is the business placed in a densely populated city, or is it located on the outskirts of town? How might the regional median house earnings influence future revenue potential?