Listing ID: 81525
OVERVIEW – ABA Advisors represents this CPA firm located in northern Fulton County, GA. The seller is willing to provide transitional assistance to the buyer to help ensure client retention.
THE Firm – The firm has a mix of business clients and individual tax clients. Average fees are solid for a practice of this size. The average 1040 is $579 and the average corporate/partnership returns are $1,350. There is solid staff in place to help ensure a smooth transition. Business ID: GA-1725
- Asking Price: N/A
- Cash Flow: $270,000
- Gross Revenue: $750,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
The seller wishes to retire from public accounting, but is willing to provide transitional assistance to the buyer to help ensure client retention.
The seller wishes to retire from public accounting.
Why is the Current Owner Selling The Business?
There are all types of reasons why people choose to sell companies. Nevertheless, the genuine factor vs the one they say to you might be 2 totally different things. For instance, they might state "I have a lot of various responsibilities" or "I am retiring". For numerous sellers, these factors are valid. But, for some, these might simply be excuses to attempt to hide the reality of altering demographics, increased competitors, current reduction in incomes, or a variety of other factors. This is why it is really important that you not rely absolutely on a seller's word, yet instead, make use of the vendor's response along with your overall due diligence. This will repaint a more reasonable picture of the business's current situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous companies are, then you will certainly need to consider this when valuating/preparing your offer. Lots of operating businesses finance loans with the purpose of covering points like supplies, payroll, accounts payable, and so on. Remember that sometimes this can indicate that revenue margins are too small. Many organisations fall under a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may additionally be future obligations to think about. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with vendors that have to be fulfilled or might cause fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the area attract new consumers? Often times, companies have repeat clients, which develop the core of their day-to-day earnings. Particular aspects such as new competitors growing up around the location, roadway construction, and also personnel turn over can affect repeat clients as well as adversely influence future profits. One vital thing to consider is the placement of the business. Is it in a very trafficked shopping mall, or is it concealed from the main road? Certainly, the more individuals that see the business on a regular basis, the higher the opportunity to construct a returning consumer base. A final idea is the basic location demographics. Is the business situated in a densely inhabited city, or is it situated on the outside border of town? Exactly how might the local mean home earnings influence future income potential?