Business Overview

Plumbing contractor with four operating fully equipped trucks, specializing in plumbing repairs and new installations of all residential and commercial plumbing needs. Please refer to listing 7101-139474 and advisor Bassam Batshone when inquiring on this listing.

Financial

  • Asking Price: $105,000
  • Cash Flow: $95,200
  • Gross Revenue: $222,000
  • EBITDA: N/A
  • FF&E: $30,000
  • Inventory: $2,000
  • Inventory Included: Yes
  • Established: 1981

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:3
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Home Based

Is Support & Training Included:

Seller will train for 2 weeks at no cost.

Purpose For Selling:

Retire

Home Based:

This Business Is Home Based

Additional Info

The company was founded in 1981, making the business 41 years old.
The sale shall include inventory valued at $2,000, which is included in the asking price.

Why is the Current Owner Selling The Business?

There are all sorts of reasons individuals choose to sell companies. Nonetheless, the genuine factor and the one they say to you may be 2 absolutely different things. As an example, they might say "I have way too many various commitments" or "I am retiring". For numerous sellers, these reasons stand. However, for some, these may simply be reasons to attempt to conceal the reality of altering demographics, increased competition, recent decrease in profits, or a range of various other reasons. This is why it is extremely vital that you not rely totally on a seller's word, but instead, utilize the vendor's answer combined with your general due diligence. This will paint a much more sensible picture of the business's current scenario.

Existing Debts and Future Obligations

If the existing entity is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your offer. Lots of companies borrow money in order to cover things like inventory, payroll, accounts payable, etc. Remember that occasionally this can imply that profit margins are too thin. Many organisations come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may also be future obligations to consider. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements 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 businesses in the area bring in brand-new customers? Most times, companies have repeat customers, which develop the core of their everyday revenues. Particular elements such as brand-new competitors growing up around the area, road building and construction, and employee turnover can impact repeat customers as well as adversely affect future incomes. One important thing to take into consideration is the placement of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Undoubtedly, the more individuals that see the business often, the greater the opportunity to build a returning consumer base. A final idea is the general area demographics. Is the business placed in a densely populated city, or is it located on the outskirts of town? Just how might the neighborhood average home income impact future earnings prospects?