Business Overview

Great and growing market area. Been in business for over a decade. Growing demand. The owner has a professional floor cleaning company and cannot meet the demands of both. Wife used to run this business but now cares for children and helps parent.

The owner current run business from a home office and use a nearly by storage facility for supplies, equipment, and meeting staff.

Financial

  • Asking Price: $205,000
  • Cash Flow: $117,902
  • Gross Revenue: $418,494
  • EBITDA: $5,000
  • FF&E: $2,600
  • Inventory: $100
  • Inventory Included: Yes
  • Established: 2007

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:N/A
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Home-based and lease storage area.

Is Support & Training Included:

Two weeks training/

Purpose For Selling:

Owner cannot focus on running two growing companies and wife is no longer workin

Pros and Cons:

Demand back to growing. The market area also getting many new homes in the area. An opportunity to grow seems likely. Bring your business development skills and take this to a new level.

Opportunities and Growth:

No franchise. You can grow this business as you see fit. Many new homes being developed and owner has shared that demand for home cleaning is on the rise.

Additional Info

The venture was founded in 2007, making the business 15 years old.
The transaction shall include inventory valued at $100, which is included in the requested price.

Why is the Current Owner Selling The Business?

There are all types of reasons why people choose to sell companies. Nevertheless, the genuine reason and the one they say to you may be 2 totally different things. For instance, they might claim "I have too many other responsibilities" or "I am retiring". For many sellers, these reasons stand. But, for some, these might simply be reasons to attempt to conceal the reality of transforming demographics, increased competitors, current decrease in earnings, or a variety of various other factors. This is why it is really crucial that you not rely absolutely on a seller's word, but instead, use the seller's response together with your general due diligence. This will paint an extra practical picture of the business's present situation.

Existing Debts and Future Obligations

If the current company is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Many operating businesses finance loans so as to cover items such as supplies, payroll, accounts payable, and so on. Bear in mind that occasionally this can imply that profit margins are too tight. Numerous companies fall into a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may also be future obligations to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with suppliers that need to be satisfied or might result in penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do companies in the area bring in brand-new consumers? Most times, operating businesses have repeat consumers, which form the core of their everyday revenues. Certain elements such as brand-new competitors sprouting up around the location, roadway construction, as well as personnel turnover can affect repeat customers and also adversely impact future earnings. One important point to think about is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Clearly, the more people that see the business on a regular basis, the better the possibility to build a returning customer base. A last thought is the basic area demographics. Is the business placed in a densely populated city, or is it located on the outside border of town? Just how might the regional median home earnings effect future income potential?