Listing ID: 81053
Business Overview
This is a less than 6-month-old smoke shop. New shelfing and inventory with a prime location. Financials are projections based on current revenue. There are no employees so the owner will have to be a hands-on owner operator or hire staff. For more information including a detailed confidential opportunity summary with financial information and photos, please use the form on this page to request more information and the NDA will be emailed to you right away. For a quick response to your inquiry, please email listing agent Trent Lee (RE#S.0183611.LLC; Business Broker Permit# BUSB.0006978) at trent@fcbb.com.
Financial
- Asking Price: $200,000
- Cash Flow: $123,257
- Gross Revenue: $230,554
- EBITDA: N/A
- FF&E: $25,000
- Inventory: $45,000
- Inventory Included: Yes
- Established: 2021
Detailed Information
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,600
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
This is a leased location of 1,600 square feet with a Total monthly rent of $2,500. Lease ends 02/2023 with One 5-year options. Seller is active. Hours of operation are 9am – 8pm, Monday to Sunday. $45,000 in inventory and $25,000 in FF&E included in the asking Price. Tobacco license required.
14 days
Moving out of state.
Additional Info
The business was started in 2021, making the business 1 years old.
The deal shall include inventory valued at $45,000, which is included in the listing price.
The building is leased by the company for $2,500 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons why people resolve to sell companies. Nonetheless, the genuine factor vs the one they tell you might be 2 absolutely different things. For instance, they might state "I have way too many various obligations" or "I am retiring". For numerous sellers, these reasons are valid. However, for some, these may simply be excuses to try to hide the reality of altering demographics, increased competitors, recent decrease in revenues, or an array of various other reasons. This is why it is very essential that you not count entirely on a seller's word, however rather, utilize the vendor's solution combined with your total due diligence. This will repaint a much more sensible picture of the business's current 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 offer. Numerous companies finance loans so as to cover items like supplies, payroll, accounts payable, and so on. Keep in mind that occasionally this can imply that revenue margins are too thin. Numerous businesses fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future obligations to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing agreements with suppliers that must be met or may cause charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the area draw in brand-new clients? Often times, businesses have repeat consumers, which create the core of their day-to-day revenues. Particular aspects such as new competitors sprouting up around the location, road building, as well as personnel turnover can affect repeat consumers as well as negatively impact future earnings. One important thing to consider is the placement of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Clearly, the more people that see the business often, the greater the possibility to develop a returning customer base. A last thought is the general area demographics. Is the business located in a largely inhabited city, or is it situated on the outside border of town? Just how might the local mean household earnings effect future income prospects?
