Listing ID: 80760
Lake Cascade Power Sports was established in 2018 specializing in ATV’s UTV’S, parts, service, repair along with related retail accessories. They are an authorized dealer for two power sports lines representing UTV’s and ATV’S. The business has a strong following of locals, 2nd home owners, recreationalists and people on vacation in Valley County.
- Asking Price: $574,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: $15,000
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:6,560
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
The business is located a block off of main street in the scenic mountain town of Cascade, Idaho. The site has easy access, parking and a completely refurbished retail/warehouse and office building totaling +/-6,560 square feet.
The Owners will continue with marine related sales, service and rentals which requires their full-time attention. They will work with a new Owner for a negotiable period of time to assure a smooth transition.
The Company has strong demand for their goods and services in one of the highest growth recreational areas in Idaho. Close proximity to the Boise Valley will continue to feed demand. Sales are projected to increase dramatically with the resurgence of the four season Tamarack Resort and national attention Valley County receives as a destination resort area and lifestyle choice.
The ideal buyer would be a synergistic Company seeking to expand into this lucrative market—or an entrepreneur with industry experience and/or interested in seeking a lifestyle opportunity. The buyer will have to be approved for a Flooring Line of approximately $200,000 to $300,000 to fund existing floored inventory. THE POSSIBILITIES The product line could be expanded to include a snowmobiles and or add other brands. Another easily expandable area is the rental and sales of Dirt Bikes, Motorcycles, Jet Skis, Wave Runners, Sea-Doos, RVs, trailers and Snowmobiles along with selling parts and accessories.
Why is the Current Owner Selling The Business?
There are all sorts of reasons individuals resolve to sell operating businesses. Nevertheless, the real reason and the one they say to you might be 2 completely different things. For instance, they might say "I have too many various commitments" or "I am retiring". For lots of sellers, these reasons are valid. However, for some, these might simply be justifications to attempt to hide the reality of altering demographics, increased competitors, current reduction in earnings, or an array of various other factors. This is why it is really vital that you not rely absolutely on a vendor's word, yet instead, utilize the vendor's solution combined with your total due diligence. This will paint a more reasonable image of the business's present scenario.
Existing Debts and Future Obligations
If the current company is in debt, which many businesses are, then you will certainly need to consider this when valuating/preparing your deal. Numerous businesses borrow money so as to cover items such as stock, payroll, accounts payable, so on and so forth. Remember that sometimes this can mean that profit margins are too tight. Many businesses fall into a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may also be future commitments to consider. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing agreements with vendors that have to be satisfied or may cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the area bring in new clients? Often times, companies have repeat clients, which develop the core of their everyday earnings. Certain aspects such as new competition growing up around the area, roadway building, and employee turn over can affect repeat clients and adversely impact future profits. One important point to take into consideration 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 build a returning customer base. A last thought is the general location demographics. Is the business situated in a largely populated city, or is it situated on the edge of town? How might the neighborhood typical family earnings influence future earnings potential?