Listing ID: 82479

Business Overview

This highly profitable sales, service and installation company has a long-standing reputation for quality workmanship, on-time completion and customer satisfaction at a competitive price. With the recent rebound of the construction industry in the Kansas City metro this business is postured for continued growth. Commercial and residential general contractors and product manufacturers repeatedly trust their clients’ projects to this supplier.

Homeowners also contract directly with this company for installation and service work. The focus on quality products and superior customer care has resulted in a large client base that continues to grow as these satisfied customers also gladly refer new clients.

The current owner is involved in estimating, bidding sales and overall operations management. Reliable, knowledgeable techs take care of installation and service work. A caring work environment allows the business to attract and retain top-notch employees.

The ideal buyer will be an individual with a technical, engineering or construction background or this could be an excellent acquisition opportunity for another construction-related company.

Financial

  • Asking Price: $780,000
  • Cash Flow: $236,400
  • Gross Revenue: $1,348,555
  • EBITDA: N/A
  • FF&E: $65,000
  • Inventory: $150,000
  • Inventory Included: Yes
  • Established: N/A

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:3,950
  • Lot Size:N/A
  • Total Number of Employees:6
  • Furniture, Fixtures and Equipment:N/A
Purpose For Selling:

Retirement

Additional Info

The transaction shall include inventory valued at $150,000, which is included in the asking price.

The business has 6 FT / 1 PT employees and is located in a building with approx. square footage of 3,950 sq ft.
The building is leased by the company for $3,500 per Month

Why is the Current Owner Selling The Business?

There are all sorts of reasons why individuals decide to sell companies. Nonetheless, the real factor vs the one they say to you might be 2 completely different things. For instance, they may state "I have way too many various responsibilities" or "I am retiring". For lots of sellers, these reasons stand. But also, for some, these may simply be reasons to attempt to hide the reality of transforming demographics, increased competition, current reduction in earnings, or an array of other reasons. This is why it is extremely important that you not depend completely on a seller's word, however rather, use the vendor's solution along with your general due diligence. This will repaint a more sensible image of the business's present scenario.

Existing Debts and Future Obligations

If the current business is in debt, which numerous companies are, then you will certainly need to consider this when valuating/preparing your offer. Numerous businesses borrow money so as to cover things such as stock, payroll, accounts payable, so on and so forth. Bear in mind that occasionally this can indicate that profit margins are too thin. Lots of businesses come under a revolving door of taking on debt 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 equipment or the building where the business resides. The business might have existing agreements with vendors that have to be met or may result in fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the area draw in brand-new customers? Many times, companies have repeat clients, which form the core of their daily earnings. Particular factors such as brand-new competition sprouting up around the area, road construction, and also employee turnover can impact repeat customers as well as negatively affect future earnings. One essential thing to think about is the location of the business. Is it in a highly trafficked shopping mall, or is it hidden from the main road? Undoubtedly, the more people that see the business regularly, the better the chance to develop a returning consumer base. A last idea is the general location demographics. Is the business situated in a largely populated city, or is it located on the outskirts of town? How might the local average family income effect future income prospects?