Business Overview

This IT managed service provider serves a niche industry to provide business information technology management. The company provides all networking needs, such as design, installation, maintenance, optimization, trouble-shooting and compliance services. The business is structured such that it can be run remotely if employees need to work from home. Recurring revenue with excellent long-term customer relationships.
The market outlook for the business is strong as customer relationships are strong and additional services could be added. The company has relied solely on referrals, so a marketing and a sales program could provide significant growth.


  • Asking Price: N/A
  • Cash Flow: $600,633
  • Gross Revenue: $1,092,310
  • EBITDA: $500,633
  • FF&E: $25,000
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A

Additional Info

The business has <10 employees and is located in a building with disclosed square footage of N/A sq ft. The property is leased by the business for $1,167 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons people resolve to sell companies. Nonetheless, the genuine factor vs the one they tell you might be 2 completely different things. For instance, they might state "I have way too many various responsibilities" or "I am retiring". For lots of sellers, these factors are valid. But also, for some, these may simply be justifications to try to conceal the reality of transforming demographics, increased competitors, current reduction in profits, or a range of various other reasons. This is why it is very essential that you not rely entirely on a vendor's word, however rather, use the vendor's answer together with your total due diligence. This will repaint a more sensible picture of the business's existing circumstance.

Existing Debts and Future Obligations

If the existing entity is in debt, which many companies are, then you will need to consider this when valuating/preparing your offer. Many companies finance loans in order to cover things such as stock, payroll, accounts payable, so on and so forth. Bear in mind that in some cases this can imply that profit margins are too thin. Many organisations fall into 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 consider. There may be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with vendors that need to be fulfilled or might lead to penalties if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do operating businesses in the area attract brand-new consumers? Many times, companies have repeat customers, which create the core of their daily earnings. Certain aspects such as new competition growing up around the area, road building and construction, and employee turn over can influence repeat consumers as well as adversely influence future profits. One crucial point to consider is the location of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Obviously, the more people that see the business regularly, the greater the chance to build a returning customer base. A last idea is the general location demographics. Is the business situated in a densely inhabited city, or is it located on the outskirts of town? Just how might the neighborhood mean household earnings influence future income potential?