Business Overview

Located in Will County, IL, this established floral shop has become the community’s go to resource for floral needs and arrangements for special occasions, offering custom, high quality options. Arrangements are delivered at the height of the blooming cycle to their customers. Good, established relationships with suppliers. After 27 successful years the owners are looking to retire. Contact broker for more information.

Financial

  • Asking Price: $110,000
  • Cash Flow: $61,100
  • Gross Revenue: $386,597
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A
Purpose For Selling:

retiring

Why is the Current Owner Selling The Business?

There are all kinds of reasons people decide to sell companies. However, the genuine reason and the one they tell you might be 2 totally different things. For instance, they might state "I have too many other responsibilities" or "I am retiring". For numerous sellers, these reasons stand. However, for some, these may just be excuses to attempt to conceal the reality of altering demographics, increased competitors, recent decrease in incomes, or an array of other factors. This is why it is extremely crucial that you not count totally on a vendor's word, but rather, use the vendor's response along with your general due diligence. This will repaint a much more reasonable image of the business's present situation.

Existing Debts and Future Obligations

If the existing company is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your offer. Many businesses borrow money in order to cover items like stock, payroll, accounts payable, so on and so forth. Bear in mind that sometimes this can suggest that profit margins are too tight. Numerous businesses come under a revolving door of taking on debt as a way to pay back 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 building where the business resides. The business might have existing contracts with vendors that must be satisfied or might lead to fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the area draw in new consumers? Most times, businesses have repeat customers, which develop the core of their day-to-day profits. Specific elements such as new competition sprouting up around the location, roadway construction, and also employee turn over can affect repeat consumers as well as negatively affect future revenues. One essential point to consider is the placement of the business. Is it in a very trafficked shopping center, or is it hidden from the main road? Undoubtedly, the more people that see the business often, the better the possibility to build a returning customer base. A last idea is the basic location demographics. Is the business placed in a largely inhabited city, or is it situated on the outskirts of town? How might the neighborhood typical home earnings effect future revenue prospects?