Listing ID: 79121
Opportunity to acquire a small restaurant and cafe in a high traffic area with off-street parking. The restaurant is currently operating and has a full kitchen with hood and grease trap and two bathrooms. The dining room has 25 seats and is setup to accommodate frequent takeout orders.
It is located in a busy area nearby many businesses and residential neighborhoods. The building is highly visible and would be an ideal location for a number of different restaurants concepts such as: breakfast/lunch cafe; Pizza; Smoothie/cafe, fast casual takeout and more.
- Asking Price: $125,000
- Cash Flow: $65,000
- Gross Revenue: $435,000
- EBITDA: $65,000
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
1,760 +/- square feet of usable space in Portsmouth, NH. The interior seating count is for 25 and there is off-street parking. The current rent is $3,000 per month plus utilities. Lease option takes it out to Feb 28, 2027
Owner willing to assist in transition.
Plenty of growth opportunities exist depending on the Buyer and restaurant concept.
The building is leased by the business for $3,000 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons individuals resolve to sell operating businesses. However, the real reason and the one they tell you may be 2 entirely different things. As an example, they might state "I have too many other obligations" or "I am retiring". For many sellers, these reasons stand. But, for some, these might just be justifications to attempt to hide the reality of altering demographics, increased competition, recent decrease in earnings, or an array of various other factors. This is why it is really essential that you not depend totally on a vendor's word, yet rather, use the vendor's answer together with your general due diligence. This will paint a more practical image of the business's existing situation.
Existing Debts and Future Obligations
If the existing company is in debt, which many businesses are, then you will need to consider this when valuating/preparing your deal. Lots of operating businesses finance loans so as to cover items like supplies, payroll, accounts payable, so on and so forth. Bear in mind that in some cases this can imply that earnings margins are too small. Lots of organisations fall into a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may additionally be future obligations to take into consideration. There might be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with vendors that have to be met or may lead to fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location attract new consumers? Often times, businesses have repeat consumers, which create the core of their daily revenues. Specific aspects such as brand-new competition growing up around the location, road building, and staff turn over can influence repeat customers and also negatively affect future profits. One vital point to take into consideration is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Clearly, the more people that see the business on a regular basis, the better the possibility to develop a returning consumer base. A final thought is the general area demographics. Is the business placed in a densely populated city, or is it situated on the edge of town? Exactly how might the neighborhood median family income influence future income potential?