Listing ID: 82940
Highly profitable fitness center for sale in Bloomington, IL. The owner has mastered social media advertising in the fitness space. This, together with his coaches that are passionate about helping people, have created a profit juggernaut. He is planning to relocate to Kansas City and wants it sold. Owner believe you can continue to grow the business by further development of the virtual offering he has created during COVID and adding additional product lines like retail supplement sales. For additional information please contact listing agent Bruce Thompson at 314-614-6930 or email@example.com
- Asking Price: $700,000
- Cash Flow: $263,335
- Gross Revenue: $559,785
- EBITDA: N/A
- FF&E: $96,847
- Inventory: N/A
- Inventory Included: N/A
- Established: 2012
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:5,000
- Lot Size:N/A
- Total Number of Employees:6
- Furniture, Fixtures and Equipment:N/A
This is a leased location of 5,000 square feet with a Total Rent of $2,040. Lease ends 12/2022 with a one 2 year lease option. Seller is active in the business with 3 FT employees and 3 Independent Contractors. Hours of operation are M-TR, 5:30 A - 7:00 P, F 5:30 A - 6:00 P, SAT 9:00 A - SUN 10:00 P. $96,847 in FF&E included in Asking Price.
Moving to Kansas City
The business was established in 2012, making the business 10 years old.
The business has 6 employees and is situated in a building with disclosed square footage of 5,000 sq ft.
The real estate is leased by the business for $2,040 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people decide to sell companies. Nonetheless, the genuine reason and the one they say to you might be 2 entirely different things. As an example, they may claim "I have too many other obligations" or "I am retiring". For many sellers, these factors stand. But, for some, these might just be justifications to try to hide the reality of changing demographics, increased competition, current decrease in incomes, or an array of other reasons. This is why it is very important that you not count entirely on a seller's word, but instead, use the vendor's response in conjunction with your overall due diligence. This will repaint a much more reasonable image of the business's current scenario.
Existing Debts and Future Obligations
If the current entity is in debt, which lots of businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Numerous operating businesses take out loans with the purpose of covering points such as stock, payroll, accounts payable, and so on. Keep in mind that in some cases this can mean that earnings margins are too small. Many organisations come under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may likewise be future commitments to think about. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that have to be satisfied or may lead to charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the location draw in brand-new clients? Often times, companies have repeat consumers, which form the core of their everyday revenues. Particular factors such as new competitors growing up around the location, road construction, and personnel turnover can influence repeat customers as well as negatively affect future incomes. One important point to take into consideration is the area of the business. Is it in an extremely trafficked shopping center, or is it hidden from the highway? Obviously, the more individuals that see the business on a regular basis, the higher the opportunity to construct a returning customer base. A final thought is the basic location demographics. Is the business placed in a largely inhabited city, or is it located on the edge of town? Exactly how might the regional average home income impact future revenue prospects?