Listing ID: 81521
ABA Advisors represents this accounting/bookkeeping practice located in the Dallas/Ft. Worth, TX area. The seller is willing to provide transitional assistance to the buyer to help ensure client retention.
The practice being sold is entirely bookkeeping and accounting clients. The practice is 100% paperless and operates in a virtual manner. Although most clients are located in the DFW area, nearly a third of the clientele is located throughout the U.S.
- Asking Price: N/A
- Cash Flow: $350,000
- Gross Revenue: $462,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
The seller is willing to provide transitional assistance to the buyer to help ensure client retention.
Why is the Current Owner Selling The Business?
There are all kinds of reasons people resolve to sell operating businesses. However, the real factor and the one they say to you might be 2 absolutely different things. For instance, they may state "I have too many various responsibilities" or "I am retiring". For numerous sellers, these reasons are valid. But also, for some, these might just be justifications to try to conceal the reality of changing demographics, increased competitors, current decrease in profits, or a range of various other reasons. This is why it is very essential that you not rely entirely on a seller's word, yet instead, make use of the seller's solution together with your overall due diligence. This will repaint a much more sensible image of the business's current situation.
Existing Debts and Future Obligations
If the current business is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your offer. Lots of companies finance loans in order to cover points like stock, payroll, accounts payable, so on and so forth. Keep in mind that in some cases this can suggest that revenue margins are too tight. Numerous businesses 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 agreements with vendors that must be fulfilled or may cause charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the location attract new consumers? Often times, operating businesses have repeat clients, which develop the core of their daily profits. Particular aspects such as brand-new competitors growing up around the area, roadway building and construction, and also personnel turn over can impact repeat clients and adversely impact future profits. One crucial thing to take into consideration is the area of the business. Is it in a highly trafficked shopping mall, or is it concealed from the main road? Undoubtedly, the more people that see the business often, the better the chance to construct a returning customer base. A final thought is the basic location demographics. Is the business placed in a densely inhabited city, or is it located on the outside border of town? How might the neighborhood typical house income effect future earnings potential?