Listing ID: 80595
Business Overview
Profitable, well established cleaning company. Revenues were strong through the pandemic as this company delivers industry-leading residential cleaning services. Comes with a fleet of vehicles. Two key long-term employees with capacity to manage the company on behalf of buyer. Exponential growth opportunities.
Financial
- Asking Price: $499,000
- Cash Flow: $232,000
- Gross Revenue: $800,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1987
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:15
- Furniture, Fixtures and Equipment:N/A
Two supervisors to stay on and support the new owner.
Retirement
Additional Info
The business was started in 1987, making the business 35 years old.
The company has 15 employees and is situated in a building with estimated square footage of N/A sq ft.
The real estate is leased by the company for $0.00
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people choose to sell operating businesses. Nevertheless, the genuine reason vs the one they tell you may be 2 absolutely different things. For instance, they may say "I have a lot of other responsibilities" or "I am retiring". For lots of sellers, these reasons are valid. But, for some, these might simply be excuses to attempt to conceal the reality of changing demographics, increased competitors, recent decrease in profits, or a variety of other factors. This is why it is very essential that you not count entirely on a seller's word, however instead, make use of the seller's response in conjunction with your total due diligence. This will repaint a more sensible image of the business's present scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which numerous companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Numerous businesses finance loans in order to cover points such as stock, payroll, accounts payable, so on and so forth. Bear in mind that in some cases this can imply that earnings margins are too small. Lots of organisations fall into a revolving door of taking loans as a way to pay back other loans. Along with debts, there may also be future obligations to think about. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing contracts with suppliers that must be met or might result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the area attract brand-new consumers? Often times, companies have repeat consumers, which create the core of their daily profits. Certain variables such as new competitors growing up around the area, roadway construction, and also personnel turn over can affect repeat consumers and negatively affect future profits. One important point to think about is the location of the business. Is it in a highly trafficked shopping center, or is it hidden from the highway? Clearly, the more individuals that see the business often, the higher the opportunity to build a returning client base. A last idea is the basic area demographics. Is the business located in a densely inhabited city, or is it situated on the outside border of town? Just how might the regional average home earnings effect future earnings potential?
