Listing ID: 80296
How often do you run into such a unique opportunity where an owner is selling due to retirement? An owner operator can easily make $80,000 as is & can make $100K or more by charging the market rate rent for the extra chairs. The shop consists of 7 styling stations. There is a washer & dryer & everything else you need to run a turnkey operation.
Here’s your opportunity to take over a well-established, turnkey, high-end salon in a great North Metro Atlanta neighborhood. The salon has a huge clientele & experienced stylists with different skill sets to satisfy all clienteles, young & old, traditional or contemporary. This salon for sale offers a full range of services that include hair design, color & make overs to match the client’s lifestyle. She will stay on, full time, through the transition period & could occupy a chair to keep her clientele in this location & introduce them & transfer them to the new owner or a new stylist over time. This hair salon for sale is located in a busy, high traffic shopping plaza with many high end shops which drive new traffic to the salon. The area has excellent demographics for this type of business.
- Asking Price: $69,000
- Cash Flow: $60,000
- Gross Revenue: $190,000
- EBITDA: N/A
- FF&E: $30,000
- Inventory: $17,000
- Inventory Included: N/A
- Established: 2010
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,280
- Lot Size:N/A
- Total Number of Employees:2
- Furniture, Fixtures and Equipment:N/A
There are 7 hair stations, 1 wax room, 3 shampoo stations & 1 coat closet. There is a washer & dryer & an 80 gallon water heater.
Smooth transition & sufficient training will be included at no additional cost.
RETIRING, but will stay & work to support the new owner for as long as necessary
This salon for sale has an established reputation & following in the area. When you are good, the competition brings you more business. Bring it on.
The area is still growing. A new owner can add more energy & bring in more stylists and offer additional services.
The venture was established in 2010, making the business 12 years old.
The sale shall not include inventory valued at $17,000*, which ins't included in the requested price.
The business has 2 employees and is situated in a building with approx. square footage of 1,280 sq ft.
The building is leased by the company for $2,700 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons individuals decide to sell companies. However, the genuine factor 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 numerous sellers, these reasons stand. But also, for some, these may simply be justifications to attempt to hide the reality of changing demographics, increased competitors, current decrease in profits, or an array of other reasons. This is why it is really essential that you not depend entirely on a seller's word, yet rather, make use of the vendor's answer together with your overall due diligence. This will repaint a much more sensible picture of the business's current situation.
Existing Debts and Future Obligations
If the current entity is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your offer. Lots of businesses take out loans so as to cover items such as inventory, payroll, accounts payable, and so on. Keep in mind that in some cases this can indicate that profit margins are too thin. Numerous organisations fall under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may additionally be future obligations to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that need to be satisfied or might cause penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the area draw in new clients? Often times, companies have repeat consumers, which form the core of their daily profits. Particular factors such as brand-new competition sprouting up around the area, road construction, and also personnel turnover can affect repeat customers and also negatively influence future earnings. One crucial thing to consider is the area of the business. Is it in an extremely trafficked shopping center, or is it concealed from the highway? Obviously, the more people that see the business on a regular basis, the greater the opportunity to develop a returning customer base. A final thought is the basic location demographics. Is the business located in a densely populated city, or is it situated on the outskirts of town? Exactly how might the neighborhood median family earnings influence future income prospects?