Business Overview

Established family run home improvement business located in one of the top 5 fastest growing markets in the US. Excellent reputation (verifiable on social media) with many home builder and other referral partners.

Small and efficient crews producing high efficiencies and gross profits. Owner has made a great living and is ready to retire.

Financial

  • Asking Price: $840,000
  • Cash Flow: $280,000
  • Gross Revenue: $650,000
  • EBITDA: $280,000
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2000

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:5
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Leased office space

Is Support & Training Included:

Owner will provide 30 days on-the-job training included in the sale price. Training to include order process, store process & procedures.

Purpose For Selling:

Retirement

Additional Info

The venture was started in 2000, making the business 22 years old.

The company has 5 employees and resides in a building with approx. square footage of N/A sq ft.
The real estate is leased by the business for $0.00

Why is the Current Owner Selling The Business?

There are all sorts of reasons people decide to sell operating businesses. Nonetheless, the true factor vs the one they tell you may be 2 completely different things. For instance, they might state "I have too many other responsibilities" or "I am retiring". For numerous sellers, these factors stand. But, for some, these may just be reasons to try to conceal the reality of transforming demographics, increased competitors, current decrease in earnings, or a variety of other factors. This is why it is really crucial that you not depend absolutely on a vendor's word, but instead, use the seller's answer combined with your overall due diligence. This will paint an extra practical picture of the business's existing situation.

Existing Debts and Future Obligations

If the current company is in debt, which lots of businesses are, then you will certainly need to consider this when valuating/preparing your offer. Lots of companies borrow money with the purpose of covering items such as supplies, payroll, accounts payable, so on and so forth. Remember that occasionally this can suggest that earnings margins are too tight. Lots of companies come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may also be future commitments to consider. There may be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with vendors that need to be fulfilled or may cause charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do operating businesses in the area attract new clients? Most times, businesses have repeat consumers, which develop the core of their everyday revenues. Certain factors such as brand-new competition sprouting up around the area, roadway building and construction, and personnel turnover can affect repeat customers and negatively affect future profits. One essential thing to think about is the placement of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more people that see the business often, the greater the possibility to build a returning client base. A last idea is the general area demographics. Is the business situated in a densely inhabited city, or is it situated on the outskirts of town? Exactly how might the regional median family earnings influence future earnings prospects?