Listing ID: 80512
Business Overview
Cabinets, this is a quality shop doing High-End Residential, and Commercial cabinet mfg. the company is doing Wood and Plastic Laminate Fabrication within the metro Atlanta marketplace for many years and is ready to retire and move to Florida. During the past several years the growth in the residential marketplace has been a major focus for the organization that has shifted the focus from the commercial side of the business more towards the residential side of the business. The business has been large in the past but, the seller is happy doing word-of-mouth type marketing and just handling the business just walking through the door.
The seller would be willing to work for a larger company in Operations (only operations) if needed and take some time and working himself out of the business. The time period could be as long as 5 years or more it needed.
Financial
- Asking Price: $1,875,000
- Cash Flow: $250,000
- Gross Revenue: $800,000
- EBITDA: N/A
- FF&E: $300,000
- Inventory: $30,000
- Inventory Included: N/A
- Established: 1995
Detailed Information
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:14,000
- Lot Size:N/A
- Total Number of Employees:6
- Furniture, Fixtures and Equipment:N/A
The business is located just off a major interstate north of Atlanta on the main road. There is a 14,000 sq. ft building on 1.5 acres +-, a production facility with an office. Additional income provided by renting small office space in the front of the building that they lease from time to time. All equipment is well maintained and there is room for expansion within the building.
As needed. The owner would be able to stay for a while if needed.
Retirement, Seller would be willing to work for a larger company in Operations
Additional Info
The business was established in 1995, making the business 27 years old.
The sale doesn't include inventory valued at $30,000*, which ins't included in the suggested price.
The company has 6 employees and is situated in a building with disclosed square footage of 14,000 sq ft.
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals choose to sell operating businesses. Nevertheless, the genuine factor vs the one they tell you might be 2 absolutely different things. For instance, they might state "I have a lot of other responsibilities" or "I am retiring". For numerous sellers, these factors stand. However, for some, these may just be justifications to try to conceal the reality of transforming demographics, increased competition, current reduction in profits, or a range of other reasons. This is why it is extremely crucial that you not count absolutely on a seller's word, however instead, utilize the seller's response combined with your total due diligence. This will repaint an extra reasonable picture of the business's present situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Many businesses finance loans with the purpose of covering points such as inventory, payroll, accounts payable, and so on. Keep in mind that occasionally this can imply that earnings margins are too thin. 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 also 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 agreements with suppliers that should be satisfied or might lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the location draw in brand-new customers? Most times, companies have repeat consumers, which form the core of their day-to-day profits. Certain variables such as brand-new competition sprouting up around the location, road building and construction, as well as staff turn over can impact repeat clients and adversely affect future revenues. One essential point to consider is the area of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the main road? Certainly, the more individuals that see the business on a regular basis, the greater the chance to develop a returning customer base. A last idea is the basic area demographics. Is the business located in a densely inhabited city, or is it situated on the outskirts of town? How might the local average household earnings impact future revenue potential?
