Listing ID: 81019
This residential kitchen & bath cabinet supply company is very well established and super equipped, the owner is very sincere about a sale in order to retire from the industry. He is quite willing to make a very fair sale with the right willing and able buyer. Contact TPG company for additional information.
- Asking Price: $1,250,000
- Cash Flow: N/A
- Gross Revenue: $1,275,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1990
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:5,000
- Lot Size:N/A
- Total Number of Employees:9
- Furniture, Fixtures and Equipment:N/A
Retiring from the industry
The venture was established in 1990, making the business 32 years old.
The business has 9 employees and resides in a building with approx. square footage of 5,000 sq ft.
The real estate is leased by the business for $4,500 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people choose to sell businesses. Nonetheless, the genuine reason vs the one they tell you might be 2 completely different things. For instance, they might state "I have way too many various commitments" or "I am retiring". For numerous sellers, these factors stand. But, for some, these may simply be excuses to try to conceal the reality of changing demographics, increased competition, recent reduction in profits, or an array of other factors. This is why it is extremely essential that you not count totally on a vendor's word, but rather, utilize the seller's answer together with your overall due diligence. This will paint a more realistic picture of the business's present scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which lots of companies are, then you will have reason to consider this when valuating/preparing your offer. Numerous operating businesses borrow money in order to cover points like inventory, payroll, accounts payable, and so on. Remember that in some cases this can indicate that earnings margins are too thin. Numerous businesses come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may also be future obligations to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with suppliers that have to be met or might lead to fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area draw in brand-new clients? Many times, businesses have repeat customers, which create the core of their everyday profits. Particular factors such as brand-new competitors growing up around the location, roadway building and construction, and staff turn over can affect repeat consumers as well as negatively influence future earnings. One vital thing to think about is the placement of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Certainly, the more individuals that see the business often, the better the opportunity to build a returning consumer base. A last idea is the basic area demographics. Is the business situated in a largely populated city, or is it situated on the outside border of town? How might the neighborhood median house earnings impact future revenue potential?