Listing ID: 82838

Business Overview

This property management company has operated continuously for many years and serves the unique needs of HOA and Villa & Condo Association Properties in the Lake of the Ozarks area. Their reputation has been built upon a “Customer First” philosophy which differentiates them from other management companies. This reputation has resulted in regularly receiving calls from HOA and Condominium Associations seeking to engage their services.

The company contracts with each client for their services, and revenue flows into the company monthly, making this a great recurring revenue model. Seller wishes to retire and will provide an agreed upon period of training and transition support with a new owner.

This business is an attractive opportunity for an individual who wants to own and operate their own business and live at the lake, or another property management company desiring to grow through acquisition. The business is ideally positioned to excel under the energy and leadership of a new owner.

Financial

  • Asking Price: $375,000
  • Cash Flow: $120,900
  • Gross Revenue: $366,000
  • EBITDA: N/A
  • FF&E: $20,000
  • Inventory: N/A
  • Inventory Included: Yes
  • Established: 2001

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:450
  • Lot Size:N/A
  • Total Number of Employees:4
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Leased office space in a relatively new multi-tenant professional building.

Is Support & Training Included:

Seller will provide training for an agreed upon period of time to assure a smooth transition.

Purpose For Selling:

Retirement

Additional Info

The venture was founded in 2001, making the business 21 years old.

The company has 4 employees and is located in a building with disclosed square footage of 450 sq ft.
The property is leased by the company for $1,050 per Month

Why is the Current Owner Selling The Business?

There are all types of reasons why people decide to sell companies. Nevertheless, the real reason vs the one they tell you may be 2 completely different things. For instance, they may state "I have too many various obligations" or "I am retiring". For numerous sellers, these factors stand. But, for some, these may simply be excuses to attempt to hide the reality of changing demographics, increased competitors, current reduction in incomes, or a range of various other reasons. This is why it is very crucial that you not rely completely on a seller's word, but instead, utilize the seller's solution in conjunction with your total due diligence. This will repaint a much more reasonable picture of the business's current situation.

Existing Debts and Future Obligations

If the existing business is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your offer. Lots of businesses finance loans so as to cover points like supplies, payroll, accounts payable, so on and so forth. Bear in mind that sometimes this can mean that earnings margins are too small. Numerous businesses fall into a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also 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 suppliers that have to be met or may lead to charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do businesses in the area bring in new clients? Many times, businesses have repeat clients, which develop the core of their day-to-day earnings. Particular aspects such as new competitors growing up around the area, road construction, and also personnel turn over can affect repeat customers and adversely affect future profits. One essential thing to think about is the placement of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Certainly, the more people that see the business often, the better the chance to construct a returning client base. A final thought is the basic area demographics. Is the business placed in a densely inhabited city, or is it situated on the outside border of town? Exactly how might the regional mean family earnings impact future revenue prospects?