Listing ID: 79222
Growing traffic control service business with operations in multiple counties in the state of Florida. In house, state certified training center equips personnel for an ever expanding territory from which to serve major customers. There are immediate opportunities to expand the business in Florida and nearby states. While the Seller plans to retire after the sale, a partner will stay on for a period of time to ensure a smooth, successful transition.
Business and real estate available at $1,450,000.
- Asking Price: $850,000
- Cash Flow: $328,099
- Gross Revenue: $1,611,730
- EBITDA: N/A
- FF&E: $206,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 1988
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:2,500
- Lot Size:N/A
- Total Number of Employees:11
- Furniture, Fixtures and Equipment:N/A
The business was started in 1988, making the business 34 years old.
The business has 11 employees and is located in a building with approx. square footage of 2,500 sq ft.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals choose to sell businesses. Nevertheless, the genuine reason vs the one they say to you might be 2 absolutely different things. For instance, they may state "I have way too many various commitments" or "I am retiring". For many sellers, these reasons stand. But also, for some, these might simply be reasons to try to conceal the reality of transforming demographics, increased competitors, current decrease in profits, or a variety of various other factors. This is why it is very crucial that you not count totally on a seller's word, but instead, use the vendor's solution along with your total due diligence. This will paint a much more reasonable picture of the business's existing scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Numerous businesses finance loans so as to cover points like inventory, payroll, accounts payable, etc. Bear in mind that occasionally this can imply that earnings margins are too small. Many organisations fall under 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 may be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with suppliers that need to be satisfied or may result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area draw in new customers? Often times, operating businesses have repeat consumers, which form the core of their everyday revenues. Certain variables such as brand-new competitors growing up around the area, roadway construction, and also personnel turnover can affect repeat customers and also negatively impact future incomes. One vital thing to take into consideration is the area of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the highway? Certainly, the more people that see the business on a regular basis, the higher the chance to build a returning client base. A final idea is the basic area demographics. Is the business placed in a largely inhabited city, or is it located on the outside border of town? Just how might the regional typical household earnings effect future income potential?