Listing ID: 79153
Fully staffed and fashionable hair salon in East Boca Raton with 7 chairs (2 rentals, 3 splits). Established as a salon for over 50-years. Excellent location with exceptional lease terms. This is a fabulous opportunity for someone with knowledge of the industry. Good books and records, seller financing with $75K down, $20k of inventory is included along with all assets and staff. The seller has moved out of the area and wants an immediate sale. Please refer to listing number 0101159184, business broker Tom Milana 561-702-6867 when inquiring about this listing.
- Asking Price: $95,000
- Cash Flow: $46,322
- Gross Revenue: $189,863
- EBITDA: N/A
- FF&E: $17,000
- Inventory: $20,000
- Inventory Included: Yes
- Established: 2011
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:858
- Lot Size:N/A
- Total Number of Employees:7
- Furniture, Fixtures and Equipment:N/A
Lease/Month: 2300 Square Footage: 858 Building Type: Strip Center Terms & Options: 2- 5 year options = 2033 Expiration Date: 12/31/2021
Weeks Training: 4 Cost: $0
Non Compete : Miles: 25 Years: 5
The business was founded in 2011, making the business 11 years old.
The transaction shall include inventory valued at $20,000, which is included in the suggested price.
The company has 7 employees and is situated in a building with approx. square footage of 858 sq ft.
The real estate is leased by the business for $2,300 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons individuals choose to sell businesses. Nevertheless, the genuine factor and the one they tell you may be 2 absolutely different things. For instance, they may state "I have a lot of other commitments" or "I am retiring". For many sellers, these reasons are valid. But also, for some, these might simply be reasons to try to hide the reality of changing demographics, increased competition, recent decrease in earnings, or a variety of various other factors. This is why it is really important that you not depend absolutely on a seller's word, however instead, utilize the seller's response in conjunction with your general due diligence. This will repaint a more sensible image of the business's current situation.
Existing Debts and Future Obligations
If the current entity is in debt, which many businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Numerous companies take out loans with the purpose of covering things such as supplies, payroll, accounts payable, etc. Bear in mind that in some cases this can imply that earnings margins are too tight. Many organisations fall into a revolving door of taking loans as a way to pay back other loans. Along with debts, there may likewise be future commitments to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with vendors that must be satisfied or may cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the location bring in brand-new clients? Most times, operating businesses have repeat customers, which form the core of their day-to-day profits. Specific variables such as new competition growing up around the area, roadway building, as well as staff turn over can influence repeat clients as well as negatively impact future incomes. One important thing to take into consideration is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Certainly, the more individuals that see the business regularly, the greater the possibility to build a returning client base. A last thought is the basic area demographics. Is the business situated in a largely populated city, or is it located on the outside border of town? How might the neighborhood mean home earnings effect future earnings potential?