Listing ID: 80211
Founded in 2008, this business has built a strong reputation for quality as evidenced by the following accolades: Master Elite Certified by GAF, Triple Excellence Award, Voted Best Roofing Business for 7 years in a row and an A+ Better Business Bureau rating.
This company performs re-roofs and repairs. Most revenue is generated from the residential roofing segment and commercial roofing is provided on a more limited basis with certifications for TPO membrane and coatings.
- Asking Price: $2,000,000
- Cash Flow: N/A
- Gross Revenue: $2,400,000
- EBITDA: N/A
- FF&E: $2,000
- Inventory: $1,500
- Inventory Included: Yes
- Established: 2008
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:1
- Furniture, Fixtures and Equipment:N/A
The business is a home-based business, operating from the home and garage of the owner. There is minimal inventory as product is purchased as required with each job. Key employees are in place for a smooth transition to the new owner. Strong presence in east and northeast Atlanta.
The owner is willing to provide three weeks of time for transitional purposes.
There are many roofing companies in the Atlanta market, but few can boast the Master Elite Certification with even fewer receiving the Triple Excellence Award and an A+ BBB rating.
Opportunities for growth include expanding the commercial segment which currently represents only 5% of total revenue. Owner has grown the business as big as he needed. Great opportunity for a new owner who is willing to accept more referrals.
The venture was established in 2008, making the business 14 years old.
The deal does include inventory valued at $1,500, which is included in the suggested price.
Why is the Current Owner Selling The Business?
There are all kinds of reasons people decide to sell businesses. Nonetheless, the true reason and the one they tell you might be 2 absolutely different things. As an example, they might state "I have too many other commitments" or "I am retiring". For many sellers, these reasons are valid. But also, for some, these may just be excuses to attempt to conceal the reality of altering demographics, increased competition, recent reduction in incomes, or a variety of other factors. This is why it is very crucial that you not depend completely on a vendor's word, but rather, use the vendor's answer in conjunction with your total due diligence. This will repaint an extra practical image of the business's current scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which lots of companies are, then you will have reason to consider this when valuating/preparing your deal. Lots of operating businesses finance loans in order to cover points like stock, payroll, accounts payable, etc. Bear in mind that occasionally this can mean that revenue margins are too tight. Lots of businesses fall under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may likewise be future obligations to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing contracts with vendors that should be satisfied or may result in fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the location bring in brand-new consumers? Often times, businesses have repeat customers, which develop the core of their everyday profits. Certain factors such as brand-new competitors growing up around the area, road building and construction, and personnel turnover can impact repeat customers as well as negatively influence future incomes. One important thing to think about is the placement of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business often, the greater the opportunity to construct a returning client base. A last thought is the basic location demographics. Is the business situated in a largely inhabited city, or is it located on the outskirts of town? Exactly how might the local median family income influence future income potential?