Listing ID: 80383
Business Overview
The company is a locally owned business that provides screen printing, embroidery, and promotional products to schools and businesses in Metro Atlanta, GA. The business was founded in 2002 and the facility includes 10,000 square feet of batting cages for baseball and softball practices. The Company has experienced steady growth by providing excellent customer service and quality products. The company has 8 full-time customer service personnel that assists customers with all their custom uniforms, t-shirts, spirit wear, and promotional items. With 10+ years of experience in this highly competitive market, the company has developed a business model that provides customers with the service they deserve.
Financial
- Asking Price: $2,250,000
- Cash Flow: $500,000
- Gross Revenue: $1,600,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2002
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:8
- Furniture, Fixtures and Equipment:N/A
The building is leased from a third party.
The owner would like to transition into semi-retirement and is willing to enter into a business development role with the acquirer (commission based).
Retirement
Limited competition due to special hazmat authority, long-standing reputation, and being an asset-based service provider.
Additional Info
The venture was started in 2002, making the business 20 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people resolve to sell companies. Nevertheless, the true reason and the one they say to you may be 2 entirely different things. As an example, they may say "I have too many other obligations" or "I am retiring". For many sellers, these reasons are valid. But also, for some, these might just be reasons to attempt to hide the reality of altering demographics, increased competitors, current decrease in earnings, or a variety of various other reasons. This is why it is really vital that you not rely absolutely on a seller's word, yet instead, utilize the seller's solution combined with your overall due diligence. This will paint an extra realistic image of the business's current circumstance.
Existing Debts and Future Obligations
If the existing business is in debt, which many companies are, then you will certainly need to consider this when valuating/preparing your offer. Many operating businesses borrow money so as to cover things like stock, payroll, accounts payable, etc. Remember that sometimes this can mean that earnings margins are too tight. Numerous businesses come under a revolving door of taking on debt as a way to pay back 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 contracts with suppliers that should be satisfied or may cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the location draw in brand-new consumers? Many times, companies have repeat customers, which develop the core of their daily profits. Specific aspects such as new competitors sprouting up around the area, road building and construction, and also employee turnover can impact repeat consumers as well as adversely influence future revenues. One vital point to consider is the area of the business. Is it in a highly trafficked shopping center, or is it hidden from the main road? Certainly, the more people that see the business regularly, the greater the opportunity to construct a returning consumer base. A final idea is the general location demographics. Is the business located in a densely populated city, or is it located on the outside border of town? Exactly how might the regional median family income impact future income potential?
