Listing ID: 82716
Crowder Plumbing is a local Plumbing business providing manufacturing, commercial, local government, and residential plumbing services throughout Lebanon, MO, and surrounding areas since 1973. Sale includes owner training and transitioning, 2016 transit 250 van with pipe rack, furniture, fixtures, and equipment (list provided), and database of clients with introductions by the seller. An employee of almost 30 years wishes to stay with the business.
- Asking Price: $125,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: Yes
- Established: 1973
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:2,400
- Lot Size:N/A
- Total Number of Employees:1
- Furniture, Fixtures and Equipment:N/A
Seller to provide 6-8 weeks of training and introductions as needed. Seller will continue to live in the area and will be open to contact if needed.
Seller wishes to retire.
The business was founded in 1973, making the business 49 years old.
The company has 1 employees and resides in a building with disclosed square footage of 2,400 sq ft.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people choose to sell companies. Nonetheless, the genuine reason vs the one they tell you might be 2 completely different things. For instance, they may say "I have way too many various responsibilities" or "I am retiring". For numerous sellers, these reasons stand. However, for some, these may simply be reasons to try to conceal the reality of altering demographics, increased competitors, recent reduction in earnings, or a range of various other reasons. This is why it is really vital that you not count totally on a vendor's word, however rather, utilize the seller's answer together with your total due diligence. This will paint a more realistic picture of the business's existing scenario.
Existing Debts and Future Obligations
If the existing company is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your offer. Many companies take out loans so as to cover items like stock, payroll, accounts payable, etc. Remember that in some cases this can imply that profit margins are too thin. Many organisations 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 obligations to consider. There might 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 satisfied or may lead to charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location attract new customers? Often times, businesses have repeat customers, which create the core of their daily earnings. Particular elements such as new competition growing up around the area, road construction, as well as employee turn over can influence repeat clients and negatively impact future incomes. One crucial point to take into consideration is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business regularly, the higher the opportunity to develop a returning customer base. A final thought is the basic area demographics. Is the business located in a largely populated city, or is it located on the edge of town? Just how might the local median household income influence future revenue prospects?