Listing ID: 82478
Business Overview
This Outdoor Service Business provides exceptional design and installation services to the “Whos Who” of Kansas City! The company has been in operation for nearly 20 years and has 2 full & 1 part-time employee. This company is ideal for a buyer that wants to run the day-to-day operations, enjoys being outside, and designing custom solutions to meet affluent clients’ needs. The business has exceptional net margins and is poised for growth!
The operation is a long-standing, respected, and very successful company in Kansas City with little competition. The owner is ready to retire and will train the buyer for a mutually agreed-upon time to help ensure they thrive and grow the business.
Financial
- Asking Price: $579,000
- Cash Flow: $202,658
- Gross Revenue: $475,302
- EBITDA: N/A
- FF&E: $32,000
- Inventory: $29,000
- Inventory Included: Yes
- Established: N/A
Detailed Information
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:2,250
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
Retirement
Additional Info
The transaction does include inventory valued at $29,000, which is included in the requested price.
The company has 3 employees and is situated in a building with approx. square footage of 2,250 sq ft.
The real estate is leased by the business for $1,175 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals decide to sell operating businesses. Nonetheless, the true reason vs the one they tell you may be 2 totally different things. For instance, they may state "I have too many other commitments" or "I am retiring". For numerous sellers, these factors are valid. However, for some, these might just be reasons to attempt to hide the reality of altering demographics, increased competitors, recent decrease in earnings, or a variety of various other factors. This is why it is really important that you not count totally on a seller's word, but rather, use the vendor's answer in conjunction with your general due diligence. This will repaint a much more realistic picture of the business's present circumstance.
Existing Debts and Future Obligations
If the current company is in debt, which many companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Numerous operating businesses finance loans so as to cover things like stock, payroll, accounts payable, etc. Keep in mind that in some cases this can imply that profit margins are too tight. Many companies fall under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may additionally be future obligations to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with suppliers that must be fulfilled or might cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the location attract brand-new clients? Many times, operating businesses have repeat customers, which develop the core of their everyday revenues. Certain aspects such as new competition growing up around the location, road building, as well as employee turn over can influence repeat consumers as well as negatively impact future incomes. One vital thing to consider is the location of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Obviously, the more individuals that see the business regularly, the greater the possibility to construct a returning customer base. A last thought is the general area demographics. Is the business placed in a densely populated city, or is it situated on the outskirts of town? How might the neighborhood median household income influence future income potential?
