Listing ID: 80544
Current ownership is offering a generous training and support package for the right buyer. Extremely easy to operate, very low overhead, and minimal working capital requirements. Service the existing customer base and earn an easy 200K plus every year. Growth opportunities and Absentee ownership opportunity are feasible for any new owner. Easy to operate and easy to learn.
- Asking Price: $395,000
- Cash Flow: $225,000
- Gross Revenue: $410,000
- EBITDA: $170,000
- FF&E: $6,000
- Inventory: $7,500
- Inventory Included: Yes
- Established: 2015
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
This is a field service business and therefore no retail storefront or warehouse is required. A field service vehicle and minimal storage is preferred.
8 weeks plus additional support will be offered.
Must move out of state
2 competitors but customer base is established and has tenure.
Local Private expansion opportunities and growth expansion opportunities in Hawaii and Maui counties.
The business was started in 2015, making the business 7 years old.
The deal shall include inventory valued at $7,500, which is included in the requested price.
Why is the Current Owner Selling The Business?
There are all types of reasons individuals choose to sell operating businesses. Nonetheless, the true factor and the one they tell you might be 2 entirely different things. As an example, they might say "I have a lot of various responsibilities" or "I am retiring". For numerous sellers, these reasons stand. However, for some, these may simply be reasons to attempt to hide the reality of changing demographics, increased competitors, current reduction in earnings, or an array of other reasons. This is why it is very important that you not depend entirely on a seller's word, however instead, use the seller's response together with your total due diligence. This will paint an extra realistic image of the business's existing situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your deal. Lots of operating businesses finance loans with the purpose of covering things like stock, payroll, accounts payable, and so on. Bear in mind that occasionally this can indicate that profit margins are too small. Numerous companies fall under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future obligations to think about. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that should be met or may lead to fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the location draw in brand-new consumers? Often times, operating businesses have repeat clients, which develop the core of their everyday revenues. Specific factors such as brand-new competitors sprouting up around the area, road construction, and also staff turn over can influence repeat consumers as well as negatively affect future profits. One vital thing to think about is the placement of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Clearly, the more people that see the business often, the better the opportunity to develop a returning consumer base. A final idea is the general area demographics. Is the business located in a largely populated city, or is it located on the outside border of town? Just how might the neighborhood mean home earnings impact future revenue prospects?