Listing ID: 79254
Longstanding and well-known antiques and home decorating business located in the heart of the Antique Row district of West Palm Beach – offering convenient proximity to clientele on Palm Beach island and beyond. With two showroom locations situated within a mile of each other, this unique and successful business offers predominantly Italian-style antique furniture, home decorations and fine home accessories dating from the 18th century through today. The company also offers antique restoration, specializing in gilting and refinishing in classic and contemporary Italianate styles. The showrooms also serve as headquarters for an interior decorating business; the owner is also a renowned decorator, with a global clientele and following that has included celebrities, heads of state, ambassadors, and other high net-worth families and individuals based locally as well as throughout Europe and South America. The business has been located in West Palm Beach since 2014. Prior to the current locations the owner operated antique furniture and design businesses in Argentina and Italy, and still sources products from those countries.
The company’s two store locations, which are generally open daytime hours and by appointment, employ expert contract staff as needed for the restoration of antiques. The owner sources, sells and occasionally ships merchandise from the store locations. In addition to the existing clientele, the business enjoys substantial walk-in traffic, benefiting from the Antique Row location. The first store location is approximately 1200 square feet, and the second location is 3600 square feet and includes a renovated kitchen in the rear of the showroom. Through its current owner, the business also provides premium interior decorating services to wealthy clientele; these engagements drive incremental sales of fine antique merchandise. After 35+ years in the business, the owner is planning to transition to retirement and is willing to train a person or team who wishes to acquire this profitable business. The owner will provide her entire client list with personal introductions during the transition period; she will also provide and introduce her network of fine antique dealers and decorators to a successor who has the skills and/or desire to operate this business. The primary revenue source is resale and restoration of fine antiques and home decor; the continuation of interior decorating services is not a requirement, but is a natural fit, especially for someone with such a background. Financials reflect only sales of antique merchandise (no services revenue included).
- Asking Price: $650,000
- Cash Flow: $96,473
- Gross Revenue: $200,357
- EBITDA: N/A
- FF&E: $75,000
- Inventory: $300,000
- Inventory Included: Yes
- Established: 2014
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:5,000
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
Seller provides training for 4 weeks at no cost.
The business was established in 2014, making the business 8 years old.
The sale shall include inventory valued at $300,000, which is included in the asking price.
The business has 3 employees and is located in a building with estimated square footage of 5,000 sq ft.
The building is leased by the company for $6,462 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people decide to sell companies. Nevertheless, the genuine factor and the one they tell you may be 2 absolutely different things. For instance, they may claim "I have a lot of other commitments" or "I am retiring". For numerous sellers, these reasons stand. However, for some, these might simply be excuses to attempt to conceal the reality of altering demographics, increased competitors, current decrease in profits, or a range of various other reasons. This is why it is really vital that you not count totally on a seller's word, but rather, utilize the seller's answer together with your overall due diligence. This will paint a more sensible picture of the business's existing situation.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your offer. Lots of companies take out loans with the purpose of covering items such as inventory, payroll, accounts payable, etc. Remember that in some cases this can imply that earnings margins are too thin. Many companies fall under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may likewise be future commitments to consider. There may be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that need to be met or may lead to charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area attract new clients? Many times, businesses have repeat clients, which develop the core of their everyday profits. Specific aspects such as new competitors sprouting up around the area, roadway building, and also personnel turnover can influence repeat customers as well as negatively affect future incomes. One vital thing to think about is the location of the business. Is it in an extremely trafficked shopping center, or is it hidden from the highway? Clearly, the more people that see the business regularly, the greater the opportunity to develop a returning client base. A last thought is the general location demographics. Is the business placed in a largely inhabited city, or is it located on the edge of town? Just how might the neighborhood typical home income influence future income potential?