Listing ID: 82281
Well established property services company for sale in the Des Moines, IA market.
Property services: exterior pressure washing, gutter cleaning, concrete cleaning, remodeling, interior and exterior painting, drywall repair, tree trimming, carpentry and make readies.
Strong, growing sales and cash flow positive.
- Asking Price: $1,600,000
- Cash Flow: $164,993
- Gross Revenue: $2,126,928
- EBITDA: $258,931
- FF&E: $356,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 2008
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:9
- Furniture, Fixtures and Equipment:N/A
Business will need to be relocated.
Other business interest
Des Moines is a growing market.
The venture was started in 2008, making the business 14 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons people resolve to sell operating businesses. However, the true reason vs the one they tell you might be 2 absolutely different things. As an example, they might claim "I have way too many other responsibilities" or "I am retiring". For many sellers, these reasons are valid. However, for some, these may just be justifications to attempt to hide the reality of changing demographics, increased competitors, recent decrease in earnings, or a range of other reasons. This is why it is extremely essential that you not depend completely on a seller's word, yet instead, make use of the seller's solution combined with your overall due diligence. This will repaint a much more realistic picture of the business's existing scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your deal. Many operating businesses take out loans so as to cover points like stock, payroll, accounts payable, so on and so forth. Remember that in some cases this can imply that revenue margins are too thin. Many organisations fall into a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future commitments to consider. There might be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with suppliers that need to be satisfied or might result in penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area draw in new customers? Often times, businesses have repeat clients, which develop the core of their day-to-day revenues. Certain aspects such as brand-new competitors sprouting up around the location, road construction, and also staff turn over can influence repeat clients and negatively impact future profits. One important thing to think about is the area of the business. Is it in a very trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more individuals that see the business regularly, the higher the chance to build a returning consumer base. A last idea is the basic area demographics. Is the business located in a densely populated city, or is it situated on the outskirts of town? Exactly how might the neighborhood average home income impact future earnings potential?