Listing ID: 82461
Located on a busy interstate highway in the Kansas City metro area, this business combines trucking, logistics and transportation services. The synergistic relationship between them benefits their clients and their own business results. With revenue growing, this company still has opportunities to expand. Real estate is available for purchase as well.
- Asking Price: $1,746,000
- Cash Flow: $699,000
- Gross Revenue: $4,352,000
- EBITDA: N/A
- FF&E: $1,367,000
- Inventory: $95,000
- Inventory Included: N/A
- Established: N/A
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
The sale shall not include inventory valued at $95,000*, which ins't included in the asking price.
Why is the Current Owner Selling The Business?
There are all kinds of reasons people resolve to sell businesses. However, the genuine factor and the one they say to you might be 2 absolutely different things. As an example, they may claim "I have too many other commitments" or "I am retiring". For numerous sellers, these factors are valid. However, for some, these may just be reasons to attempt to conceal the reality of transforming demographics, increased competitors, current decrease in earnings, or a range of various other reasons. This is why it is extremely essential that you not count totally on a seller's word, however instead, utilize the vendor's solution along with your total due diligence. This will repaint a much more practical picture of the business's existing situation.
Existing Debts and Future Obligations
If the current business is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your deal. Numerous businesses finance loans with the purpose of covering points such as stock, payroll, accounts payable, etc. Keep in mind that sometimes this can imply that revenue margins are too thin. Many companies 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 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 need to be met or might cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area bring in new clients? Many times, companies have repeat clients, which develop the core of their everyday earnings. Specific variables such as brand-new competitors growing up around the area, road building and construction, and staff turnover can influence repeat clients as well as negatively affect future incomes. One essential thing to take into consideration is the location 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 higher the possibility to build a returning client base. A final idea is the general location demographics. Is the business placed in a densely inhabited city, or is it situated on the outskirts of town? How might the neighborhood typical family earnings impact future earnings prospects?