Listing ID: 81168
For Sale – Successful and established Hardware Store in rural Northern California town. In the same location for over 100 years, current owner of 20 years is ready to retire. Sale includes building which was rebuilt in 1999. Great opportunity for family run business in a small town with no competition.
Price includes land, building, business, inventory, etc. Turn-key business with established customer base.
Business has very little online presence and no social media, so there is a huge opportunity to increase business if the new owner wants to focus on creating an online social media campaign.
- Asking Price: $450,000
- Cash Flow: N/A
- Gross Revenue: $223,545
- EBITDA: $56,600
- FF&E: N/A
- Inventory: N/A
- Inventory Included: Yes
- Established: 1900
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Seller willing to negotiate a training period for new owner.
Owner is retiring.
No other hardware stores in the area.
Multiple opportunities to expand into other areas such as animal supplies. horse tack, etc.
The company was founded in 1900, making the business 122 years old.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people choose to sell operating businesses. Nonetheless, the true reason and the one they tell you might be 2 entirely different things. As an example, they may claim "I have a lot of various commitments" or "I am retiring". For numerous sellers, these factors stand. However, for some, these may simply be reasons to try to hide the reality of transforming demographics, increased competition, current reduction in earnings, or an array of other reasons. This is why it is very crucial that you not depend entirely on a seller's word, yet rather, use the vendor's answer in conjunction with your general due diligence. This will paint a much more practical image of the business's present scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of businesses take out loans in order to cover items like stock, payroll, accounts payable, and so on. Keep in mind that sometimes this can indicate that revenue margins are too small. Many businesses fall under a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future obligations to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with suppliers that have to be fulfilled or might cause charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the location bring in brand-new consumers? Most times, operating businesses have repeat customers, which develop the core of their day-to-day earnings. Particular variables such as new competitors sprouting up around the area, road construction, and employee turn over can influence repeat customers as well as negatively affect future earnings. One essential point to consider is the placement of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the main road? Certainly, the more individuals that see the business on a regular basis, the higher the opportunity to build a returning client base. A final thought is the general location demographics. Is the business placed in a densely populated city, or is it located on the outskirts of town? Just how might the regional typical home earnings impact future earnings potential?