Listing ID: 81553
A popular and established indoor park franchise location in a top-10 central Illinois city is ready for its next owner.
In business for a number of years, everything is set for continued growth and expansion – equipment is in place, employees hired and trained along with seasoned management team and, of course, repeat clientele.
This indoor entertainment facility is designed to provide a variety of activities no matter what age – from climbing walls to bouncing along on connected trampolines.
Ownership team willing to stay on for a period of time for seamless local transition and the franchisor supplements that with the proven support that has made it a recognized entertainment experience.
Property and building are also being offered so call for more details!
- Asking Price: $5,000,000
- Cash Flow: $858,819
- Gross Revenue: $2,440,601
- EBITDA: N/A
- FF&E: $662,279
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:15
- Furniture, Fixtures and Equipment:N/A
Why is the Current Owner Selling The Business?
There are all types of reasons why people resolve to sell companies. Nonetheless, the true factor vs the one they tell you might be 2 absolutely different things. For instance, they might claim "I have too many other commitments" or "I am retiring". For numerous sellers, these reasons stand. But, for some, these may just be reasons to attempt to hide the reality of altering demographics, increased competition, current decrease in revenues, or a range of various other reasons. This is why it is very important that you not rely completely on a vendor's word, yet rather, use the seller's response combined with your total due diligence. This will repaint a more reasonable image of the business's present 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 deal. Lots of operating businesses finance loans with the purpose of covering things like stock, payroll, accounts payable, etc. Bear in mind that sometimes this can imply that earnings margins are too thin. Lots of 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 likewise be future obligations to take into consideration. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with suppliers that must be fulfilled or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the area bring in brand-new customers? Often times, businesses have repeat clients, which form the core of their day-to-day revenues. Certain variables such as new competitors growing up around the area, road building, as well as staff turn over can influence repeat clients and also adversely influence future revenues. One essential point to consider is the location of the business. Is it in an extremely trafficked shopping center, or is it concealed from the main road? Obviously, the more people that see the business on a regular basis, the greater the chance to construct a returning customer base. A final idea is the general location demographics. Is the business located in a largely inhabited city, or is it located on the edge of town? Just how might the local mean house income influence future earnings potential?