Listing ID: 79105
This clothing consignment store has been in business for 31 years. The business boasts a clean, creative and upbeat atmosphere along with a large but curated selection. A strong track record and high demand paint a positive picture for the future of this business. The consignment clothing industry is growing as more people become conscious of the destructive nature of the fashion industry. Located on a high trafficked thoroughfare in an upscale community. Don’t miss your opportunity to do what you love for a living!
The business is for sale with the real estate optionally for sale as well.
- Asking Price: $259,000
- Cash Flow: $93,811
- Gross Revenue: $1,042,444
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1990
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:25,484
- Lot Size:N/A
- Total Number of Employees:4
- Furniture, Fixtures and Equipment:N/A
25,484 +/- SF multi tenant retail plaza on a well trafficked thoroughfare.
To be negotiated.
Ample opportunities for growth via online presence, pop up shops and internal departments.
The venture was founded in 1990, making the business 32 years old.
The company has 4 FT 5PT employees and is located in a building with estimated square footage of 25,484 sq ft.
Why is the Current Owner Selling The Business?
There are all types of reasons why people decide to sell companies. Nevertheless, the genuine reason vs the one they say to you may be 2 entirely different things. For instance, they may state "I have way too many other commitments" or "I am retiring". For numerous sellers, these reasons stand. But, for some, these might just be justifications to attempt to hide the reality of transforming demographics, increased competitors, current reduction in profits, or a range of various other factors. This is why it is extremely crucial that you not count completely on a seller's word, however rather, utilize the seller's answer along with your total due diligence. This will paint an extra realistic image of the business's present circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which lots of companies are, then you will need to consider this when valuating/preparing your offer. Many operating businesses borrow money in order to cover things like supplies, payroll, accounts payable, and so on. Keep in mind that sometimes this can mean that earnings margins are too thin. Numerous companies fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may also be future obligations to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing agreements with vendors that have to be satisfied or might cause penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the location bring in new clients? Many times, companies have repeat clients, which develop the core of their everyday earnings. Certain variables such as brand-new competition sprouting up around the area, road building and construction, and also employee turnover can affect repeat customers and adversely affect future earnings. One important thing to consider is the placement of the business. Is it in an extremely trafficked shopping center, or is it hidden from the highway? Obviously, the more individuals that see the business often, the higher the opportunity to construct a returning client base. A final thought is the general location demographics. Is the business located in a largely inhabited city, or is it located on the outside border of town? Exactly how might the local median house income effect future revenue prospects?