Listing ID: 82507

Business Overview

The company is a premier home remodeling solution specializing in kitchen and bath countertops. Customers come to the showroom to choose from an extensive selection of countertops. Once selected, the company visits the home to take measurements, then fabricates the countertop in their facility using state-of-the-art equipment. The company is experiencing rapid growth and exceptional gross and net profit margins due to many satisfied customers giving multiple referrals. In addition, several home builders rely on the company to install countertops in their homes. In addition, the company recently purchased a CNC and router machinery that are capable of doubling production.

The market outlook for this business continues to be very strong as consumers are remodeling and upgrading homes at an unprecedented rate. Furthermore, the opportunity to add home builders and apartment property managers along with commercial accounts positions this company as the high-quality, low-cost leader in this market.

Financial

  • Asking Price: N/A
  • Cash Flow: N/A
  • Gross Revenue: $2,843,000
  • EBITDA: $983,000
  • FF&E: $280,000
  • Inventory: $419,000
  • Inventory Included: Yes
  • Established: N/A

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:8
  • Furniture, Fixtures and Equipment:N/A

Additional Info

The sale shall include inventory valued at $419,000, which is included in the requested price.

The company has 8+ employees and is situated in a building with estimated square footage of N/A sq ft.
The building is leased by the business for $0.00

Why is the Current Owner Selling The Business?

There are all types of reasons why individuals decide to sell businesses. However, the genuine reason and the one they tell you might be 2 completely different things. For instance, they might claim "I have way too many other commitments" or "I am retiring". For numerous sellers, these reasons stand. But also, for some, these might just be excuses to try to hide the reality of altering demographics, increased competitors, current reduction in incomes, or a range of other factors. This is why it is really essential that you not rely entirely on a vendor's word, yet rather, utilize the vendor's solution in conjunction with your total due diligence. This will paint an extra realistic image of the business's existing scenario.

Existing Debts and Future Obligations

If the existing entity is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your deal. Lots of businesses finance loans with the purpose of covering points such as inventory, payroll, accounts payable, so on and so forth. Remember that sometimes this can imply that revenue margins are too tight. Numerous companies fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may also be future commitments to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with vendors that need to be satisfied or may result in fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do companies in the location bring in new customers? Often times, operating businesses have repeat customers, which form the core of their daily profits. Specific variables such as new competition sprouting up around the location, roadway building, and also personnel turnover can impact repeat customers and adversely influence future revenues. One crucial thing to think about is the area of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Undoubtedly, the more people that see the business regularly, the higher the opportunity to construct a returning consumer base. A final idea is the general location demographics. Is the business situated in a densely inhabited city, or is it located on the outside border of town? Exactly how might the local average household income impact future earnings prospects?