Listing ID: 82766
Business Overview
Great opportunity for an owner operator. Profitable and growing 2 year old liquor store located in an established, busy shopping center with bars, restaurants, and other retail shops. 2021 sales have increased by approximately 50% from the previous year. With additional advertising and adding lottery tickets, could enhance sales even more. Located near a major highway with easy access, surrounded by an industrial, retail and residential setting in the Greater Columbia Metro area.
Financial
- Asking Price: $120,000
- Cash Flow: $35,915
- Gross Revenue: $237,916
- EBITDA: N/A
- FF&E: $7,000
- Inventory: $30,000
- Inventory Included: Yes
- Established: 2020
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:N/A
- Furniture, Fixtures and Equipment:N/A
Negotiable
Retirement
Additional Info
The company was established in 2020, making the business 2 years old.
The transaction will include inventory valued at $30,000, which is included in the requested price.
The building is leased by the company for $1,200 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people decide to sell companies. Nevertheless, the true reason vs the one they tell you might be 2 totally different things. For instance, they might say "I have a lot of other commitments" or "I am retiring". For many sellers, these factors stand. But also, for some, these might simply be justifications to attempt to conceal the reality of transforming demographics, increased competition, recent reduction in earnings, or a variety of other reasons. This is why it is really essential that you not rely completely on a vendor's word, yet instead, make use of the seller's solution together with your overall due diligence. This will paint a more practical image of the business's current scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which many businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Numerous operating businesses take out loans with the purpose of covering items such as inventory, payroll, accounts payable, so on and so forth. Bear in mind that sometimes this can indicate that earnings margins are too small. Many organisations come under 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 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 need to be satisfied or might lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the location attract new clients? Most times, companies have repeat customers, which form the core of their day-to-day earnings. Certain variables such as new competition growing up around the location, road construction, as well as personnel turn over can affect repeat clients as well as negatively impact future profits. One vital point to take into consideration is the location of the business. Is it in a highly trafficked shopping mall, or is it concealed from the highway? Clearly, the more individuals that see the business regularly, the greater the opportunity to develop a returning consumer base. A last thought is the general area demographics. Is the business situated in a densely inhabited city, or is it located on the outside border of town? How might the local average home income influence future earnings potential?
