Business Overview

This very popular and long established consignment store is a gem. It is located in historic downtown Powder Springs, Georgia in an area bustling with new construction activity. The business has a loyal clientele and a robust online sales strategy.

Recent new developments in the area include a new bar and shop. A brewery and restaurant are under construction almost directly across the street. The city is about to begin construction on a $38M, 224 unit apartment complex with ground floor retail in the area behind the consignment store which is being developed into a “town square”. Awesome potential!!!

Financial

  • Asking Price: $69,900
  • Cash Flow: $37,800
  • Gross Revenue: $450,000
  • EBITDA: N/A
  • FF&E: $17,500
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2000

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:5,425
  • Lot Size:N/A
  • Total Number of Employees:6
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

This two story building is 5424 SF in size (2712 per floor) and sits on 0.09 acres in the center of historic downtown Powder Springs. The consignment store occupies the first floor and the upstairs office space is leased to third party tenants.

Is Support & Training Included:

The owner is willing to provide support for an effective transition to a new owner.

Purpose For Selling:

Retirement

Pros and Cons:

The store has been a fixture in this community for many years and has a loyal clientele. The store deals in high end, quick turnover consignment products. The area surrounding the store has recently been developed into a gathering spot with an amphitheater and has a park like feel. New stores, restaurants and a brewery are under construction. The City of Powder Springs is beginning a development to include a 224 unit apartment complex with ground floor retail immediately behind the store and surrounding the park like town square.

Opportunities and Growth:

Growth in the surrounding area from new real estate developments including apartments, restaurants and a brewery should increase foot traffic for retail businesses.

Additional Info

The venture was started in 2000, making the business 22 years old.

The business has 6-8 employees and is situated in a building with approx. square footage of 5,425 sq ft.
The property is leased by the business for $2,500 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons individuals choose to sell businesses. Nonetheless, the genuine factor and the one they say to you might be 2 absolutely different things. As an example, they might say "I have a lot of other obligations" or "I am retiring". For many sellers, these factors are valid. But also, for some, these may simply be excuses to attempt to conceal the reality of changing demographics, increased competitors, recent reduction in earnings, or a range of various other factors. This is why it is extremely essential that you not depend completely on a seller's word, but instead, utilize the vendor's response in conjunction with your general due diligence. This will paint a much more realistic picture of the business's present situation.

Existing Debts and Future Obligations

If the current business is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your offer. Lots of businesses borrow money with the purpose of covering points such as inventory, payroll, accounts payable, etc. Bear in mind that occasionally this can indicate that revenue margins are too small. Numerous companies fall under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may likewise be future commitments to take into consideration. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with suppliers that have to be met or might cause fines if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the location bring in new customers? Many times, operating businesses have repeat clients, which develop the core of their day-to-day earnings. Certain elements such as brand-new competition sprouting up around the area, road building, and personnel turnover can affect repeat consumers and also adversely affect future incomes. One crucial thing to consider is the placement of the business. Is it in a highly trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business often, the greater the possibility to develop a returning customer base. A last thought is the basic area demographics. Is the business located in a largely populated city, or is it located on the outskirts of town? How might the neighborhood median family earnings influence future revenue prospects?