Listing ID: 80471

Business Overview

• Captive customer base. 80% of the customers are loyal to culture identification &
service instead of being driven by price’s competition.
• Cater mainly to Hispanic customers.
• Familiar Latino grocery brands and Meat Cuts.
• Produce.
• Bakery Goods.
• Money Transfer.
• Gross Revenue: $1,416,000 (Store $1,272,000K + $144,00 Money Transfer Fees).
• Cash Flow: $364,000 (Store $220,000 + $144,000 Money Transfer Fees).
• Payroll: $106,000/year.
• Utilities: $22,300/year.

Financial

  • Asking Price: $676,000
  • Cash Flow: $364,000
  • Gross Revenue: $1,416,000
  • EBITDA: N/A
  • FF&E: $25,000
  • Inventory: $100,000
  • Inventory Included: N/A
  • Established: 2010

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:2,800
  • Lot Size:N/A
  • Total Number of Employees:8
  • Furniture, Fixtures and Equipment:N/A
Is Support & Training Included:

To be determined.

Purpose For Selling:

To focus in another investment.

Opportunities and Growth:

To open an inside taqueria and to grow 25%

Additional Info

The company was founded in 2010, making the business 12 years old.
The transaction shall not include inventory valued at $100,000*, which ins't included in the suggested price.

The company has 8 employees and resides in a building with approx. square footage of 2,800 sq ft.
The property is leased by the company for $4,700 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons why individuals choose to sell businesses. Nonetheless, the genuine reason and the one they tell you might be 2 totally different things. For instance, they may state "I have too many other obligations" or "I am retiring". For numerous sellers, these reasons are valid. However, for some, these might just be excuses to attempt to conceal the reality of altering demographics, increased competition, current reduction in profits, or a range of other factors. This is why it is extremely essential that you not depend absolutely on a seller's word, however instead, use the vendor's response together with your total due diligence. This will paint a much more reasonable picture of the business's current situation.

Existing Debts and Future Obligations

If the current company is in debt, which many companies are, then you will need to consider this when valuating/preparing your offer. Many operating businesses borrow money so as to cover points like supplies, payroll, accounts payable, etc. Bear in mind that in some cases this can imply that profit margins are too tight. Many businesses fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may likewise be future commitments to think about. There might be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with vendors that should be met or might lead to penalties if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do companies in the area bring in new clients? Many times, operating businesses have repeat clients, which develop the core of their daily revenues. Specific variables such as new competition growing up around the area, road building and construction, as well as personnel turn over can affect repeat clients and also adversely influence future incomes. One essential point to consider is the area of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Undoubtedly, the more people that see the business often, the better the chance to develop a returning consumer base. A final thought is the general area demographics. Is the business situated in a largely populated city, or is it located on the outside border of town? How might the neighborhood median household income influence future income prospects?