Business Overview

This business has been in operation for over 20 years providing training programs for corporations ranging from Fortune 100 to Fortune 5000. Their primary service is employee engagement, retention and development with additional lower duration certified programs also available. Historically the company delivered services in a traditional consulting, in-person model. In 2020 they accelerated their transition to digital and online learning platforms and are nearing completion of that project. A team of 20 trainers around the world hold certifications to teach courses.

Included in the purchase price of the business is all copyright material for training courses, proprietary assessments and several books. The Seller is seeking a buyer with skills and resources to accelerate growth of the business or a company with an existing distribution system seeking to enter the field of employee engagement, retention and development.

Courses include year long programs in leadership development, emotional intelligence, motivation and hiring best practices as well as certifications in a host of positions at all levels of the organization.

The Seller is willing to stay on for an appropriate transition period and for an extended period to continue research and writing for the new organization. The Seller will entertain a cash/royalty purchase price split.

Financial

  • Asking Price: $3,000,000
  • Cash Flow: $300,000
  • Gross Revenue: $300,000
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2000

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:20
  • Furniture, Fixtures and Equipment:N/A

Additional Info

The venture was established in 2000, making the business 22 years old.

Why is the Current Owner Selling The Business?

There are all kinds of reasons why people resolve to sell operating businesses. Nonetheless, the true factor and the one they say to you might be 2 totally different things. As an example, they might claim "I have a lot of various obligations" or "I am retiring". For lots of sellers, these factors stand. But, for some, these might simply be justifications to try to conceal the reality of transforming demographics, increased competition, current reduction in incomes, or a range of other factors. This is why it is really crucial that you not count totally on a seller's word, however instead, use the vendor's response along with your general due diligence. This will repaint an extra practical image of the business's current situation.

Existing Debts and Future Obligations

If the current business is in debt, which lots of businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Many operating businesses take out loans in order to cover items such as supplies, payroll, accounts payable, and so on. Remember that occasionally this can suggest that earnings margins are too small. Numerous businesses come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may additionally be future commitments to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with suppliers that have to be fulfilled or may result in charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the location draw in new customers? Most times, companies have repeat consumers, which form the core of their day-to-day revenues. Certain factors such as brand-new competition growing up around the area, road building and construction, and personnel turn over can influence repeat customers and adversely influence future revenues. One vital thing to take into consideration is the area of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Certainly, the more people that see the business regularly, the higher the chance to build a returning consumer base. A final idea is the general area demographics. Is the business located in a largely inhabited city, or is it located on the edge of town? Just how might the neighborhood average household earnings impact future earnings prospects?