Listing ID: 80805

Business Overview

This well-established company provides home staging services primarily to residential real estate agents, homeowners, and builders selling homes in the local Boise area. The company has sufficient inventory to handle up to 30 homes at one time. The staging work complements the individual home’s architecture, space, warmth, and flow. The company has not been negatively affected by COVID-19. However, the company has been indirectly affected by the large influx of people relocating to the local area and purchasing homes.

Financial

  • Asking Price: $250,000
  • Cash Flow: $116,758
  • Gross Revenue: $343,960
  • EBITDA: N/A
  • FF&E: $289,500
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2006

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:2
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The company operates from a home office and from a leased 9,300 square foot warehouse that holds the staging furniture and accessories. (Home Based)

Is Support & Training Included:

Will train for 4 weeks @ $0 cost. An individual who is experienced in retail management, or related complementary customer-centric businesses is an ideal candidate to purchase this business. Additionally, prior management/supervisory experience, and a general business background would be very helpful. If you have management experience, and 20% of the purchase price in cash (or in your IRA or 401k)* for a down payment, this business could be yours.

Purpose For Selling:

The owners are ready to retire.

Pros and Cons:

Owner is willing to sign non-compete and terms are negotiable.

Opportunities and Growth:

According to a recent First Research Industry report for Residential Real Estate Brokerage, home sales are to remain strong and is expected to continue through 2021. Additionally, the local area is experiencing high demand for homes and is a "seller's market".

Home Based:

This Business Is Home Based

Additional Info

The company was started in 2006, making the business 16 years old.

Why is the Current Owner Selling The Business?

There are all types of reasons individuals choose to sell businesses. Nonetheless, the true reason and the one they tell you might be 2 absolutely different things. For instance, they might say "I have way too many various obligations" or "I am retiring". For many sellers, these reasons stand. However, for some, these may just be excuses to try to hide the reality of altering demographics, increased competition, recent reduction in incomes, or an array of other reasons. This is why it is really important that you not count completely on a vendor's word, but rather, use the vendor's answer along with your general due diligence. This will repaint an extra realistic picture of the business's present circumstance.

Existing Debts and Future Obligations

If the existing company is in debt, which numerous companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of businesses borrow money with the purpose of covering things like stock, payroll, accounts payable, etc. Remember that in some cases this can indicate that profit margins are too small. Numerous businesses fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may likewise be future commitments to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that should be fulfilled or may result in charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the area bring in brand-new clients? Often times, operating businesses have repeat consumers, which form the core of their everyday revenues. Specific elements such as new competitors sprouting up around the location, road construction, and also personnel turnover can affect repeat clients and also adversely influence future earnings. One essential point to consider is the placement of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Undoubtedly, the more individuals that see the business often, the better the chance to construct a returning client base. A final idea is the general location demographics. Is the business located in a densely inhabited city, or is it situated on the edge of town? Just how might the neighborhood median home earnings effect future revenue prospects?