Listing ID: 81523
ABA Advisors represents this CPA practice located in Staten Island, NY. The seller is willing to provide transitional assistance to the buyer to help ensure client retention.
The practice has a good mix of individual and business clients, mostly located within Staten Island. This is a mature practice, with long-term clientele. The business is profitable that should provide more than 40% to the Buyer that purchases the business.
- Asking Price: N/A
- Cash Flow: $125,000
- Gross Revenue: $300,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1979
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
The seller is willing to provide transitional assistance to the buyer to help ensure client retention.
Seller wishes to retire from public accounting.
The company was established in 1979, making the business 43 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals decide to sell businesses. Nonetheless, the real factor and the one they say to you might be 2 totally different things. As an example, they might say "I have too many various commitments" or "I am retiring". For numerous sellers, these reasons are valid. However, for some, these may just be excuses to attempt to hide the reality of changing demographics, increased competition, current reduction in revenues, or a variety of various other reasons. This is why it is extremely vital that you not rely completely on a vendor's word, however instead, make use of the vendor's solution in conjunction with your general due diligence. This will repaint an extra sensible picture of the business's present circumstance.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of companies borrow money with the purpose of covering things such as stock, payroll, accounts payable, and so on. Remember that occasionally this can imply that revenue margins are too thin. Lots of businesses come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may likewise be future obligations to think about. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with vendors that need to be satisfied or may result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location draw in new consumers? Most times, companies have repeat customers, which develop the core of their day-to-day profits. Certain elements such as new competition growing up around the area, road building and construction, and also personnel turn over can affect repeat clients and also negatively affect future revenues. One crucial point to take into consideration is the location of the business. Is it in a very trafficked shopping center, or is it concealed from the main road? Certainly, the more people that see the business often, the greater the opportunity to develop a returning customer base. A final idea is the general location demographics. Is the business placed in a densely inhabited city, or is it located on the edge of town? Exactly how might the regional mean home income influence future income potential?