Listing ID: 82933
Sunbelt Business Brokers of Baton Rouge presents this excellent commercial opportunity for sale. Building has served previously as a restaurant but could easily serve as a wholesale or large event space. Business is located a very busy main highway with over 40,000 cars passing by daily. The building is approximately 10,000sqft and can seat approximately 350 people. Building has 3 new air conditioners and a second floor that could used for an office or possible living space. Building is fully equipped with camera and monitor systems all over to allow an owner to run it absentee if desired. Real estate has tons of parking to handle large crowds. The kitchen inside is uniquely equipped to handle large amounts of boiled seafood like shrimp, crabs and crawfish to carter out or serve inhouse. Building is on a high traffic area that can also conveniently serve a large work force at the chemical plants in town or city of Baton Rouge, LA. Seller is extremely motivated to sell the property. Due to health issues the owner has the current restaurant operation shut down.
- Asking Price: $1,400,000
- Cash Flow: N/A
- Gross Revenue: $340,000
- EBITDA: N/A
- FF&E: $48,000
- Inventory: $5,000
- Inventory Included: Yes
- Established: 1995
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:10,000
- Lot Size:N/A
- Total Number of Employees:4
- Furniture, Fixtures and Equipment:N/A
The company was founded in 1995, making the business 27 years old.
The transaction shall include inventory valued at $5,000, which is included in the asking price.
The company has 4FT employees and resides in a building with disclosed square footage of 10,000 sq ft.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals choose to sell companies. However, the real factor vs the one they say to you may be 2 absolutely different things. For instance, they might claim "I have a lot of other commitments" or "I am retiring". For many sellers, these factors stand. But, for some, these may simply be justifications to try to hide the reality of transforming demographics, increased competition, recent reduction in profits, or a variety of other reasons. This is why it is really vital that you not depend totally on a seller's word, yet rather, make use of the vendor's solution combined with your general due diligence. This will repaint a more realistic picture of the business's present situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Many companies finance loans with the purpose of covering items such as supplies, payroll, accounts payable, and so on. Keep in mind that sometimes this can imply that profit margins are too tight. Numerous organisations fall into a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future obligations to consider. There may be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with vendors that have to be satisfied or may result in charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the area attract brand-new consumers? Often times, companies have repeat consumers, which create the core of their everyday revenues. Certain factors such as new competition growing up around the location, roadway construction, as well as employee turn over can influence repeat consumers and also negatively affect future earnings. One essential thing to take into consideration is the area of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the highway? Certainly, the more people that see the business on a regular basis, the better the possibility to build a returning client base. A final thought is the basic area demographics. Is the business situated in a densely populated city, or is it situated on the edge of town? Exactly how might the regional mean home income influence future earnings potential?