Listing ID: 82786

Business Overview

90 k inside sale, 30k gallons, new hood, register and dispenser
and just got liquor license for video gaming

Financial

  • Asking Price: $1,800,000
  • Cash Flow: N/A
  • Gross Revenue: N/A
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: N/A

Detailed Information

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

Why is the Current Owner Selling The Business?

There are all sorts of reasons individuals decide to sell businesses. Nonetheless, the genuine factor vs the one they tell you may be 2 completely different things. As an example, they might claim "I have too many various commitments" or "I am retiring". For lots of sellers, these factors are valid. However, for some, these might just be reasons to attempt to conceal the reality of changing demographics, increased competition, current decrease in earnings, or a variety of other reasons. This is why it is very crucial that you not depend entirely on a seller's word, but instead, utilize the seller's answer along with your overall due diligence. This will paint an extra realistic image of the business's existing circumstance.

Existing Debts and Future Obligations

If the current company is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Numerous companies borrow money so as to cover points such as supplies, payroll, accounts payable, and so on. Keep in mind that occasionally this can imply that profit margins are too tight. Numerous businesses come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future commitments to think about. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with suppliers that should be fulfilled or may result in charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do businesses in the area bring in brand-new consumers? Many times, companies have repeat customers, which form the core of their everyday profits. Particular elements such as brand-new competition sprouting up around the area, roadway construction, and staff turnover can impact repeat consumers and also adversely affect future revenues. One important thing to think about is the area of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Undoubtedly, the more individuals that see the business often, the greater the possibility to develop a returning customer base. A final idea is the basic area demographics. Is the business located in a largely populated city, or is it located on the outskirts of town? Just how might the neighborhood median household income influence future earnings prospects?