Listing ID: 82897
Executive Style, High margin, Non-Emergency Repair & Restoration
Great lifestyle business! Work normal weekday hours. No overnight calls!
Home office/Repair/Restoration B2B/B2C
Owner does not do the work. This is an executive model. Owner scales the business. Average job is $1,130 with 40% margins. No contracting or receivables. Cash business. Technicians are paid well and do all of the work. NO brick and mortar location to pay for, Work from home. Niche Restoration!!
Other key benefits include:
– Very scalable
– Very low overhead
– Minimal inventory
– HIGH profit margins
– Few employees
- Asking Price: $89,500
- Cash Flow: $215,700
- Gross Revenue: $675,800
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
Why is the Current Owner Selling The Business?
There are all sorts of reasons people decide to sell businesses. Nevertheless, the true reason vs the one they say to you may be 2 absolutely different things. For instance, they might state "I have a lot of other obligations" or "I am retiring". For many sellers, these reasons stand. However, for some, these might simply be justifications to try to conceal the reality of transforming demographics, increased competition, current reduction in profits, or an array of other factors. This is why it is extremely important that you not depend totally on a seller's word, however instead, utilize the seller's solution together with your total due diligence. This will paint a much more sensible image of the business's current scenario.
Existing Debts and Future Obligations
If the current business is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Lots of businesses borrow money so as to cover items such as stock, payroll, accounts payable, etc. Remember that sometimes this can mean that profit margins are too small. Lots of companies fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future commitments to think about. There might be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with suppliers that need to be met or may result in penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the area bring in new customers? Many times, businesses have repeat clients, which develop the core of their daily earnings. Certain variables such as new competition sprouting up around the area, roadway building, and also employee turn over can influence repeat clients and also adversely impact future profits. One vital thing to take into consideration is the location of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business often, the higher the opportunity to construct a returning client base. A final thought is the general location demographics. Is the business placed in a largely inhabited city, or is it located on the outskirts of town? Exactly how might the regional mean household earnings effect future earnings prospects?