Business Overview

New exterior upgrades and new equipment installed! Businesses, building, equipment and real estate included in asking price. Established clientele. Great demographics.

Financial

  • Asking Price: $1,200,000
  • Cash Flow: N/A
  • Gross Revenue: N/A
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:Yes
  • Building Square Footage:5,508
  • Lot Size:N/A
  • Total Number of Employees:N/A
  • Furniture, Fixtures and Equipment:N/A
Purpose For Selling:

Other Interests

Why is the Current Owner Selling The Business?

There are all sorts of reasons individuals choose to sell businesses. However, the real reason vs the one they tell you might be 2 completely different things. As an example, they may state "I have too many other obligations" or "I am retiring". For lots of sellers, these reasons are valid. But also, for some, these may simply be reasons to attempt to hide the reality of altering demographics, increased competition, recent reduction in earnings, or a range of various other reasons. This is why it is extremely crucial that you not rely entirely on a seller's word, yet instead, use the seller's solution along with your general due diligence. This will repaint a much more sensible image of the business's current situation.

Existing Debts and Future Obligations

If the current entity is in debt, which many businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of operating businesses finance loans in order to cover points such as stock, payroll, accounts payable, etc. Keep in mind that in some cases this can indicate that earnings margins are too small. Lots of companies 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 commitments to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with suppliers that have to be met or may result in fines if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the area draw in brand-new clients? Many times, companies have repeat consumers, which develop the core of their everyday earnings. Specific elements such as new competitors growing up around the location, road building and construction, and also employee turnover can influence repeat customers as well as negatively affect future incomes. One important thing to consider is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Undoubtedly, the more individuals that see the business on a regular basis, the better the opportunity to construct a returning client base. A last thought is the general area demographics. Is the business located in a densely inhabited city, or is it located on the outside border of town? How might the neighborhood mean family income impact future earnings prospects?