Listing ID: 82772
Business Overview
Owners consistently have earned in excess of $100,000 annually in this business.
They offer a variety of specialty brake and clutch products, for vehicles from the 1930’s up to the present.
They carry multiple lines of quality, name brand brake, clutch and water pump SKUs. They surface flywheels, surface disc and drum brakes for foreign, domestic, antique and tractor applications as well as forklift and other off-road applications.
In business forever, they have sold their building and, rather than perform the move
themselves, have decided to sell and retire.
Financial
- Asking Price: $150,000
- Cash Flow: $119,837
- Gross Revenue: $396,343
- EBITDA: N/A
- FF&E: $50,000
- Inventory: $75,000
- Inventory Included: Yes
- Established: 1929
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:3
- Furniture, Fixtures and Equipment:N/A
The business comes with an extensive inventory of both new and old stock.
Training available
Retirement
Growth can come from website sales and education, internet sales and letting customers know in the region, starting with Kansas City, all the things they can do that simply cant be done anywhere close.
Additional Info
The business was founded in 1929, making the business 93 years old.
The transaction shall include inventory valued at $75,000, which is included in the asking price.
Why is the Current Owner Selling The Business?
There are all sorts of reasons people resolve to sell businesses. However, the genuine factor vs the one they say to you might be 2 entirely different things. As an example, they may say "I have a lot of other commitments" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these may simply be reasons to attempt to hide the reality of altering demographics, increased competition, current reduction in earnings, or a variety of other reasons. This is why it is really crucial that you not depend entirely on a seller's word, however rather, use the vendor's answer in conjunction with your general due diligence. This will repaint a much more sensible image of the business's existing circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your offer. Many operating businesses borrow money with the purpose of covering things such as inventory, payroll, accounts payable, so on and so forth. Bear in mind that occasionally this can imply that earnings margins are too tight. Many organisations fall into a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may also 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 have to be satisfied or may cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area attract brand-new customers? Most times, companies have repeat clients, which form the core of their daily revenues. Specific variables such as brand-new competition sprouting up around the area, road construction, and also employee turn over can influence repeat customers and negatively influence future profits. One important thing to consider is the location of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Certainly, the more people that see the business regularly, the higher the chance to build a returning client base. A final idea is the basic location demographics. Is the business situated in a largely inhabited city, or is it situated on the outside border of town? Exactly how might the neighborhood average home earnings influence future earnings potential?
