Listing ID: 81503
Well established practice with a solid mix of monthly bookkeeping, payroll processing and tax preparation services. Experienced and capable staff in place along with seller transitional assistance makes this an ideal turnkey opportunity for a first time buyer. QuickBooks and ProSeries software are being used for the accounting, payroll and tax preparation services. This practice has been pre-qualifed by our lenders for outside bank financing. Additional funds for working capital and equipment as well as acquisition costs are available to qualified buyers.
- Asking Price: N/A
- Cash Flow: $77,758
- Gross Revenue: $214,966
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
Why is the Current Owner Selling The Business?
There are all types of reasons why people resolve to sell operating businesses. Nonetheless, the true reason and the one they say to you may be 2 entirely different things. As an example, they might state "I have a lot of other responsibilities" or "I am retiring". For numerous sellers, these reasons stand. But, for some, these might simply be reasons to attempt to hide the reality of changing demographics, increased competitors, recent reduction in incomes, or an array of various other reasons. This is why it is very important that you not rely entirely on a vendor's word, but instead, make use of the seller's answer along with your overall due diligence. This will repaint a more reasonable picture of the business's present situation.
Existing Debts and Future Obligations
If the existing company is in debt, which many companies are, then you will have reason to consider this when valuating/preparing your deal. Numerous operating businesses take out loans so as to cover things such as stock, payroll, accounts payable, etc. Remember that in some cases this can indicate that revenue margins are too small. Many businesses fall into a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future obligations to think about. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that need to be fulfilled or may lead to fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location draw in brand-new consumers? Most times, businesses have repeat clients, which create the core of their day-to-day revenues. Particular factors such as brand-new competition growing up around the location, roadway building and construction, and also staff turn over can impact repeat consumers and adversely impact future incomes. One crucial point to consider is the placement of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Certainly, the more individuals that see the business often, the better the opportunity to build a returning customer base. A last idea is the basic area demographics. Is the business located in a densely populated city, or is it situated on the outskirts of town? Just how might the regional average home income impact future income prospects?