Listing ID: 80377
This is your unique opportunity to own an established health market that’s been around for 14 years.
This health market sells supplements, herbs, roots, leaves, books, small appliances.
In addition to its loyal customer database, this health market is located at a large shopping center with national anchors and a large grocery store.
The owners only work 2 days a week managing employees and ordering inventory. There are currently 3 staff employees that open and close 7 days a week.
This health market comes fully equipped with a counter, shelving, POS machines, with an office and a break room.
- Asking Price: $320,000
- Cash Flow: $127,583
- Gross Revenue: $543,457
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
Why is the Current Owner Selling The Business?
There are all kinds of reasons individuals choose to sell operating businesses. However, the true reason and the one they tell you might be 2 absolutely different things. For instance, they may claim "I have too many other obligations" or "I am retiring". For many sellers, these reasons stand. But also, for some, these might simply be excuses to attempt to hide the reality of changing demographics, increased competition, recent reduction in earnings, or a range of various other factors. This is why it is very important that you not count absolutely on a vendor's word, yet instead, use the seller's solution in conjunction with your overall due diligence. This will repaint a much more realistic image of the business's current scenario.
Existing Debts and Future Obligations
If the current business is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of businesses take out loans so as to cover items such as inventory, payroll, accounts payable, and so on. Remember that in some cases this can indicate that earnings margins are too tight. Numerous companies fall into a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future commitments to think about. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with suppliers that need to be satisfied or might cause charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the area draw in new clients? Many times, companies have repeat consumers, which form the core of their daily profits. Certain factors such as new competition sprouting up around the area, roadway building, as well as employee turn over can influence repeat customers and also negatively impact future earnings. One essential thing to take into consideration is the area of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Clearly, the more individuals that see the business often, the higher the opportunity to build a returning client base. A final thought is the general location demographics. Is the business placed in a largely inhabited city, or is it situated on the edge of town? Just how might the regional average house earnings impact future earnings prospects?