Listing ID: 81109
Business Overview
Begun as a tiny tool store in 1986, Skyway Tool Center is now a 5000 sq ft retail tool store located in beautiful Chico, California. A family owned and operated tool business, Skyway Tool Center opened SkywayTools.com in 1995. In 2005 the tool store owners built a new tool store after renting for the first 19 years.
SkywayTools.com and Skyway Tool Center sell quality tools at affordable prices, featuring tools by Viking Drill & Tool high speed steal drill bits, Bondhus allens, Grey Pneumatic sockets, Chicago Pneumatic and Ingersoll Rand air tools, among dozens of other brands.
SKYWAY TOOL CENTER BUSINESS CORNER OF SKYWAY AND BRUCE ROAD.
COMPLETE TOOL SALES STORE WITH AUTOMOTIVE REPAIR, AUTO BODY, WOODWORKING,CONSTRUCTION, AND HOBBY PROJECTS.
ESTABLISHED ON THIS GREAT CORNER OF BRUCE ROAD AND SKYWAY DAILY TRAFFIC COUNT IN THE THOUSAND 4 WAYS..
Financial
- Asking Price: $549,500
- Cash Flow: $675,000
- Gross Revenue: $642,000
- EBITDA: $172,000
- FF&E: $13,000
- Inventory: $150,000
- Inventory Included: N/A
- Established: 1986
Detailed Information
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:6,702
- Lot Size:N/A
- Total Number of Employees:2
- Furniture, Fixtures and Equipment:N/A
SELLER WILL LEASE THE BUILDING $7,500 /MONTH FOR FIRST 3 YEARS OF THE FIRST 5 YEAR LEASE THEN 2% ANNUAL INCREASES THERE AFTER WITH OPTIONS TO RENEW FOR 3 MORE 5 YEAR LEASE PERIODS, BUSINESS IS 5,000 +/- 23 PARKING SPACE
YES ALL THAT NECESSARY GREAT OFFICE ASSISTANT AND COUNTER MAN WHO KNOW THE BUSINESS.
RETIREMENT HERE WE COME
BIG BOX STORE WHO USUALLY ARE NOT HELPFUL. NEED YOUNGER ASSESSIVE OWNER AND OUTSIDE SALES PERSON.
WITH RE BUILDING OF PARADISE THIS IS THE GO TO PLACE FOR ALL CONSTRUCTION TOOL NEEDS. YOU NEED IT WE GOT IT.
Additional Info
The company was started in 1986, making the business 36 years old.
The sale shall not include inventory valued at $150,000*, which ins't included in the listing price.
The company has 2 employees and is located in a building with estimated square footage of 6,702 sq ft.
Why is the Current Owner Selling The Business?
There are all sorts of reasons people decide to sell operating businesses. Nevertheless, the genuine reason vs the one they say to you may be 2 entirely different things. For instance, they may say "I have too many other obligations" or "I am retiring". For lots of sellers, these factors stand. But, for some, these might simply be justifications to try to conceal the reality of changing demographics, increased competitors, recent reduction in incomes, or a range of other factors. This is why it is extremely essential that you not depend entirely on a vendor's word, however instead, utilize the vendor's answer together with your total due diligence. This will repaint a more reasonable image of the business's present situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which many companies are, then you will have reason to consider this when valuating/preparing your deal. Numerous businesses borrow money so as to cover items like supplies, payroll, accounts payable, etc. Keep in mind that occasionally this can mean that revenue margins are too tight. Lots of companies fall into a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may additionally be future commitments to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business may have existing agreements with vendors that have to be met or may lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area draw in brand-new customers? Most times, businesses have repeat customers, which develop the core of their daily profits. Specific aspects such as brand-new competition growing up around the location, roadway building, and also personnel turnover can affect repeat consumers as well as negatively impact future earnings. One important point to consider is the placement of the business. Is it in a very trafficked shopping mall, or is it concealed from the main road? Obviously, the more people that see the business on a regular basis, the better the chance to construct a returning consumer base. A last idea is the general area demographics. Is the business situated in a densely populated city, or is it located on the edge of town? Exactly how might the neighborhood mean house earnings influence future earnings potential?
