Listing ID: 82816
Business Overview
What a fantastic business! This business was started in 1978. They have diversified their company into three segments of revenue streams which has led to consistent growth over the last 10 years. They have an impeccable reputation in the industry and community by offering superior products and services that are unmatched. The owners have updated company software and incorporated many improvements to help with efficiency. The business is well positioned for significant growth and currently has a large back log of business extending well into 2022. If you are looking for a rock-solid business with excellent growth potential, this business is a must see.
Financial
- Asking Price: $525,000
- Cash Flow: $129,081
- Gross Revenue: $928,412
- EBITDA: N/A
- FF&E: $150,000
- Inventory: $25,000
- Inventory Included: Yes
- Established: 1978
Detailed Information
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:5,000
- Lot Size:N/A
- Total Number of Employees:5
- Furniture, Fixtures and Equipment:N/A
Wood frame and steel construction
Owner is committed to a smooth ownership transition.
Other business interests
Additional Info
The business was started in 1978, making the business 44 years old.
The transaction does include inventory valued at $25,000, which is included in the listing price.
The company has 5 employees and resides in a building with disclosed square footage of 5,000 sq ft.
The real estate is leased by the business for $0.00
Why is the Current Owner Selling The Business?
There are all kinds of reasons people choose to sell operating businesses. Nonetheless, the genuine reason and the one they say to you might be 2 entirely different things. For instance, they may claim "I have too many other commitments" or "I am retiring". For lots of sellers, these reasons stand. But also, for some, these may just be reasons to attempt to conceal the reality of altering demographics, increased competitors, recent decrease in profits, or a variety of various other factors. This is why it is very important that you not rely totally on a seller's word, but instead, utilize the seller's answer along with your total due diligence. This will paint 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 deal. Many operating businesses finance loans in order to cover items like inventory, payroll, accounts payable, and so on. Bear in mind that sometimes this can mean that revenue margins are too tight. Lots of businesses fall under a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future obligations to take into consideration. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with vendors that must be satisfied or might result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the location draw in new consumers? Often times, businesses have repeat clients, which develop the core of their daily earnings. Certain elements such as brand-new competitors sprouting up around the location, roadway construction, and personnel turnover can influence repeat consumers and also adversely influence future revenues. One crucial point to consider is the location of the business. Is it in a very trafficked shopping center, or is it concealed from the main road? Undoubtedly, the more individuals that see the business on a regular basis, the higher the possibility to construct a returning consumer base. A last idea is the basic location demographics. Is the business placed in a densely populated city, or is it situated on the outskirts of town? Just how might the neighborhood median home earnings effect future revenue prospects?
