Listing ID: 80740
Multi-location Dry Cleaner in Eastern Idaho. Owner has started another job and needs to sale. Sales are recovering from Covid and should be near breakeven this year. Business is selling for the price of the equipment. This business will not be on the market long. Comes with management and employees committed to staying on with the new buyers. It also has a laundromat attached that could explode with some additional attention. Business has been around for over 30 years.
- Asking Price: $215,000
- Cash Flow: N/A
- Gross Revenue: $231,000
- EBITDA: N/A
- FF&E: $215,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 1976
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:11
- Furniture, Fixtures and Equipment:N/A
Willing to help with transition. They are staying in the area.
Owner has a new job
The venture was started in 1976, making the business 46 years old.
Why is the Current Owner Selling The Business?
There are all sorts of reasons individuals resolve to sell operating businesses. However, the true factor and the one they say to you might be 2 completely different things. As an example, they might state "I have a lot of various commitments" or "I am retiring". For many sellers, these reasons are valid. But, for some, these might just be excuses to try to hide the reality of altering demographics, increased competitors, recent reduction in revenues, or a range of various other reasons. This is why it is very crucial that you not count entirely on a vendor's word, however instead, use the seller's answer together with your total due diligence. This will paint a more sensible picture of the business's present circumstance.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of businesses borrow money with the purpose of covering points such as inventory, payroll, accounts payable, etc. Remember that in some cases this can imply that profit margins are too tight. Lots of organisations fall under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may likewise 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 need to be met or might lead to fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the area attract new customers? Most times, operating businesses have repeat clients, which create the core of their everyday revenues. Certain factors such as new competition sprouting up around the location, roadway construction, as well as personnel turn over can influence repeat clients and adversely impact future revenues. One crucial point to think about is the placement 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 regularly, the greater the possibility to build a returning customer base. A final thought is the basic location demographics. Is the business located in a densely populated city, or is it situated on the outside border of town? Just how might the regional average home income effect future revenue prospects?