Listing ID: 79386
BEST DEAL ON THE MARKET! Southwest Florida’s largest supplier of synthetic wigs and hairpieces with an added component focused on hair loss and regrowth solutions for both men and women. Innovative hair restoration systems, extensions, toppers and high quality wigs are all specialties of this salon, established for over a decade, with recurring referrals from medical doctors, associations and clients. Business with good books and records. Staff in place with licensed specialists dedicated to service and quality. Seller will consider a long term consultant position if needed. INCLUDED IN PURCHASE PRICE is a MINIMUM of $300,000 of hair product and wig inventory. Customer base is well established and return business is a plus. Sales up 30% in 2021. SBA Lender Pre-Qualified with as little as 97,000 down. Terms are approximate.
- Asking Price: $470,000
- Cash Flow: $326,455
- Gross Revenue: $856,791
- EBITDA: N/A
- FF&E: $25,000
- Inventory: $300,000
- Inventory Included: Yes
- Established: 2011
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,200
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
Strip Center Location Lease Terms and Options: 5 Year Extension
The business was started in 2011, making the business 11 years old.
The deal will include inventory valued at $300,000, which is included in the suggested price.
The business has 5 employees and is located in a building with estimated square footage of 1,200 sq ft.
The building is leased by the company for $1,070 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people decide to sell companies. Nonetheless, the real reason and the one they tell you may be 2 completely different things. For instance, they might claim "I have way too many other responsibilities" or "I am retiring". For many sellers, these factors are valid. However, for some, these might just be justifications to attempt to hide the reality of transforming demographics, increased competition, recent decrease in earnings, or a variety of various other factors. This is why it is really important that you not count totally on a vendor's word, however rather, use the vendor's solution combined with your general due diligence. This will repaint an extra practical picture of the business's current situation.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of operating businesses take out loans so as to cover points like supplies, payroll, accounts payable, etc. Bear in mind that sometimes this can imply that profit margins are too tight. Lots of businesses fall into a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may likewise 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 agreements with vendors that must be fulfilled or may result in penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area attract brand-new clients? Many times, businesses have repeat consumers, which form the core of their day-to-day earnings. Particular aspects such as brand-new competitors growing up around the area, roadway construction, as well as personnel turnover can influence repeat clients as well as adversely influence future incomes. One important thing to take into consideration is the location of the business. Is it in an extremely trafficked shopping center, or is it concealed from the highway? Clearly, the more people that see the business regularly, the higher the opportunity to build a returning client base. A last idea is the basic location demographics. Is the business located in a largely inhabited city, or is it located on the outside border of town? How might the local median household income influence future earnings potential?