Listing ID: 79502
Reason for Sale:Retirement- Long Established Legal Service Consulting firm. Established since 1972 providing basic legal services like, Immigration, Bankruptcy, Income Tax & Divorce. A new owner doesn’t need to have a law degree. Seller will transition & teach a new owner all his trade secrets. Located in Hollywood with thousands of satisfied customers. Low rent of $800/month. 2021 Sales $129k – through 9-30. In 2020 the business was closed for Covid. Easy to learn /No employees. Very rewarding business helping consumers solve their problems. Perfect opportunity for an attorney acquisition.
- Asking Price: $175,000
- Cash Flow: $149,012
- Gross Revenue: $167,786
- EBITDA: N/A
- FF&E: $2,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 1985
- 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
Free Standing Bldg.- $800/month-1000 sq ft- Month to Month.
Will train for 4 weeks @ $0 cost.
The business was established in 1985, making the business 37 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people decide to sell businesses. However, the genuine reason vs the one they tell you may be 2 totally different things. As an example, they may claim "I have a lot of various commitments" or "I am retiring". For many sellers, these factors are valid. But, for some, these may just be excuses to attempt to conceal the reality of altering demographics, increased competitors, recent reduction in earnings, or an array of other reasons. This is why it is really important that you not depend entirely on a seller's word, however rather, make use of the seller's response in conjunction with your total due diligence. This will repaint a more practical image of the business's present circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Numerous companies borrow money so as to cover items such as inventory, payroll, accounts payable, so on and so forth. Bear in mind that sometimes this can suggest that revenue margins are too small. Numerous companies fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future commitments to consider. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with vendors that should be satisfied or might result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the location draw in brand-new customers? Many times, companies have repeat customers, which create the core of their everyday earnings. Specific factors such as new competition growing up around the area, road building and construction, and also personnel turnover can affect repeat customers and adversely influence future profits. One vital thing to think about is the location of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Undoubtedly, the more people that see the business often, the greater the opportunity to build a returning client base. A last thought is the basic area demographics. Is the business placed in a densely inhabited city, or is it situated on the outside border of town? Exactly how might the regional typical house income impact future revenue potential?