Listing ID: 81209

Business Overview

Very successful sign company with a great reputation throughout Northern Nevada. Established accounts with tremendous opportunity to grow the enterprise with a new, energized owner. Seller has long-standing relationships and will help the right buyer transition into the business.

Seller owns the building and will sell with the business!

Financial

  • Asking Price: $1,250,000
  • Cash Flow: $527,000
  • Gross Revenue: $1,400,000
  • EBITDA: N/A
  • FF&E: $500,000
  • Inventory: $15,000
  • Inventory Included: Yes
  • Established: 2005

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:4
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

15,080 total square feet with two buildings zoned General Industrial. Proforma (market rate) rents suggest about $9,000 in gross monthly income including rents paid by the sign shop. All tenant spaces are fully leased and demand is strong. A buyer of the business would have the added benefit of being a landlord to several tenants with a consistent revenue stream.

Is Support & Training Included:

Seller is willing to finance some of the purchase and will help a qualified buyer for up to one year.

Purpose For Selling:

Retirement and other interests

Pros and Cons:

Seller has many select accounts whom are secure and loyal. Growth in this region is tremendous and EVERY business owner needs signage. Business also has a strong income from service and maintenance accounts.

Opportunities and Growth:

Manage existing client expectations and introduce some marketing/sales efforts to expand opportunities for growth. With the right buyer, the revenue potential could exceed $2M and beyond.

Additional Info

The venture was started in 2005, making the business 17 years old.
The deal will include inventory valued at $15,000, which is included in the requested price.

Why is the Current Owner Selling The Business?

There are all kinds of reasons why people resolve to sell operating businesses. Nevertheless, the true factor vs the one they say to you may be 2 absolutely different things. As an example, they might state "I have way too many other obligations" or "I am retiring". For lots of sellers, these reasons are valid. However, for some, these might just be reasons to attempt to hide the reality of transforming demographics, increased competition, current reduction in profits, or a range of other reasons. This is why it is really crucial that you not depend completely on a vendor's word, however rather, use the seller's answer combined with your general due diligence. This will paint an extra realistic image of the business's present circumstance.

Existing Debts and Future Obligations

If the current business is in debt, which many companies are, then you will need to consider this when valuating/preparing your deal. Numerous businesses finance loans with the purpose of covering items such as stock, payroll, accounts payable, and so on. Keep in mind that occasionally this can suggest that profit margins are too thin. Numerous organisations come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may additionally be future commitments to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with suppliers that should be met or may result in charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do businesses in the location attract new customers? Often times, operating businesses have repeat clients, which create the core of their everyday earnings. Certain variables such as new competitors growing up around the location, road construction, and staff turn over can influence repeat consumers and adversely affect future incomes. One crucial thing to think about is the location of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Clearly, the more people that see the business on a regular basis, the higher the chance to construct a returning consumer base. A final idea is the basic location demographics. Is the business located in a densely inhabited city, or is it situated on the outskirts of town? How might the local mean household earnings impact future revenue potential?