Listing ID: 82960
Popular Health Club Juice Smoothie Bar Cafe
Includes Established Food Plan Website and Customer Base
Easy and Fun Family Environment
Has Light Food Menu Too!!
$60K Make Offer
Serious Only with Funds call John Perry at 225-615-4900
- Asking Price: $60,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: Yes
- Established: N/A
The property is leased by the company for $100 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people choose to sell companies. Nonetheless, the real factor vs the one they say to you might be 2 totally different things. For instance, they may say "I have a lot of other commitments" or "I am retiring". For many sellers, these factors stand. However, for some, these might just be justifications to attempt to hide the reality of altering demographics, increased competitors, current decrease in profits, or an array of other factors. This is why it is really crucial that you not count completely on a seller's word, but rather, make use of the vendor's answer combined with your overall due diligence. This will repaint an extra reasonable image of the business's existing scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your offer. Numerous businesses finance loans in order to cover things like stock, payroll, accounts payable, so on and so forth. Remember that occasionally this can indicate that profit margins are too tight. Numerous companies fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future commitments to consider. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with vendors that need to be fulfilled or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the area attract new customers? Most times, companies have repeat clients, which create the core of their day-to-day earnings. Certain aspects such as new competitors sprouting up around the area, road building and construction, and staff turn over can influence repeat customers and adversely impact future incomes. One important thing to think about is the location of the business. Is it in a very trafficked shopping center, or is it concealed from the main road? Certainly, the more individuals that see the business regularly, the greater the chance to develop a returning customer base. A final idea is the general area demographics. Is the business situated in a largely inhabited city, or is it located on the outside border of town? Just how might the local average house income effect future income prospects?