Listing ID: 81231
Great investment property in rural area that is quickly being discovered by the outside market! The commercial property is comprised of 2 parcels totaling 16 acres situated against the Ward Mountain range to east and the farming community of Preston to the west. Lane’s Truck Center is a full-service truck stop with a 15 room motel complete with managers quarters and laundry facility. The Convenience store and restaurant have been recently remodeled to include new seating, breakfast counter, custom finished concrete floors and a rock fireplace that offers a welcoming ambience. There is a gas station with three credit card activated pumps and certified truck scales. Also on the property are 3 large industrial buildings totaling 10,964 square feet, lots of equipment and truck parking, a perfect set up for a diesel truck repair business/tire shop. This property is located on Highway 318 just north of Lund about 30 miles from Ely. This is a major and most direct truck route from Mexico to Canada makin Lane’s Truck Stop a perfect place for truckers and travelers to stop. The annual average daily traffic count along Highway 318 increased from 1,200 in 2011 to nearly double that at 2,200 in 2019. Currently at a 10% cap rate, the financials easily support the asking price with plenty of room to grow this business. This property is truly an investment you can’t pass up.
- Asking Price: $1,490,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1978
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:22,526
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Restaurant, Convenience Store, Motel, Trailer Park, Gas Station, and Shop Buildings.
The venture was founded in 1978, making the business 44 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons individuals resolve to sell operating businesses. Nonetheless, the real reason and the one they tell you might be 2 totally different things. As an example, they might say "I have too many various commitments" or "I am retiring". For lots of sellers, these reasons stand. But, for some, these may just be reasons to try to conceal the reality of transforming demographics, increased competition, recent reduction in incomes, or a range of various other reasons. This is why it is really essential that you not depend totally on a seller's word, however instead, use the seller's answer along with your overall due diligence. This will paint a much more sensible image of the business's current situation.
Existing Debts and Future Obligations
If the current company is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your offer. Numerous businesses borrow money in order to cover things such as supplies, payroll, accounts payable, and so on. Bear in mind that sometimes this can imply that revenue margins are too small. Numerous organisations come under a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may additionally be future commitments to consider. There may be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with suppliers that should be met or may cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area bring in new clients? Often times, operating businesses have repeat clients, which form the core of their everyday earnings. Particular elements such as brand-new competition sprouting up around the location, roadway building and construction, and also staff turn over can affect repeat consumers as well as negatively affect future earnings. One important thing to take into consideration is the placement of the business. Is it in a highly trafficked shopping mall, or is it hidden from the main road? Clearly, the more people that see the business regularly, the greater the possibility to develop a returning client base. A final thought is the basic location demographics. Is the business located in a largely inhabited city, or is it situated on the outside border of town? Exactly how might the neighborhood mean family income influence future revenue prospects?