Business Overview

Unique opportunity to acquire a highly successful childcare business located in Southern New Hampshire. The Business has a strong following and an excellent reputation.  It’s fully staffed with tenured and experienced personnel.  The childcare center is at full capacity and has a long waiting list of families pursuing entry.  The owners are seeking a buyer who has a similar commitment to pre-school education and childcare.  Industry experience is a plus but not required.

Financial

  • Asking Price: $425,000
  • Cash Flow: $166,000
  • Gross Revenue: $775,000
  • EBITDA: $166,000
  • FF&E: $15,000
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A
About The Facility:

The business is located in approximately 4500 SF +/- in a high traffic area.   There is plenty of onsite paved parking and the location is close to major highways.

Is Support & Training Included:

Seller is willing to assist in support and training.

Purpose For Selling:

Divestiture

Pros and Cons:

There are other competitors in the area, but there is still significant demand.  The Business has a long waiting list of families requesting enrollment.

Opportunities and Growth:

The Company has strong customer relationships and significant repeat and referral business.  The owner has provided growth opportunities within the confidential package.

Additional Info

The building is leased by the business for $0.00

Why is the Current Owner Selling The Business?

There are all sorts of reasons why individuals decide to sell companies. However, the true factor and the one they tell you might be 2 absolutely different things. As an example, they might state "I have a lot of other responsibilities" or "I am retiring". For lots of sellers, these reasons are valid. However, for some, these might simply be justifications to try to conceal the reality of transforming demographics, increased competitors, recent decrease in earnings, or a variety of other reasons. This is why it is very crucial that you not count completely on a vendor's word, but rather, make use of the vendor's response along with your overall due diligence. This will paint a more reasonable image of the business's present situation.

Existing Debts and Future Obligations

If the existing business is in debt, which lots of companies are, then you will have reason to consider this when valuating/preparing your offer. Lots of companies borrow money with the purpose of covering items such as stock, payroll, accounts payable, etc. Bear in mind that sometimes this can indicate that revenue margins are too thin. Many businesses 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 may be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with suppliers that have to be fulfilled or might cause charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do businesses in the area attract new clients? Often times, operating businesses have repeat customers, which create the core of their daily earnings. Particular aspects such as brand-new competition sprouting up around the location, road building, and also employee turn over can influence repeat clients as well as adversely influence future revenues. One essential thing to take into consideration is the location of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Undoubtedly, the more individuals that see the business often, the higher the possibility to build a returning customer base. A last thought is the general location demographics. Is the business located in a densely inhabited city, or is it situated on the outskirts of town? Just how might the local mean home earnings impact future revenue potential?