Listing ID: 82982
Awesome Restaurant Opportunity in Very Nice Uptown Location on Street Car Route
Many Students Live in Immediate Area
In Very Successful Restaurant Corridor
Fully Equipped and Turnkey
Keep Concept or Easily Convert to Your Own
Seats 60 Inside 20 OUTSIDE
Rent $5600 Triple Net
Serious Only with Funds call John Perry at 225-615-4900
- Asking Price: $129,000
- Cash Flow: N/A
- Gross Revenue: N/A
- 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 types of reasons why people resolve to sell businesses. Nevertheless, the true factor and the one they tell you may be 2 absolutely different things. As an example, they might say "I have way too many other responsibilities" or "I am retiring". For many sellers, these factors are valid. But, for some, these might simply be justifications to try to hide the reality of changing demographics, increased competition, recent reduction in profits, or a variety of various other reasons. This is why it is extremely vital that you not count entirely on a vendor's word, however instead, use the seller's answer together with your total due diligence. This will repaint a much more reasonable image of the business's current situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your offer. Lots of companies borrow money in order to cover things like supplies, payroll, accounts payable, and so on. Bear in mind that sometimes this can imply that profit margins are too thin. Lots of companies fall into a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may likewise be future commitments to consider. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with vendors that have to be fulfilled or may cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the location draw in new customers? Most times, companies have repeat clients, which develop the core of their everyday revenues. Particular aspects such as new competitors sprouting up around the area, road building and construction, as well as staff turn over can influence repeat clients and also negatively influence future profits. One important thing to take into consideration is the location of the business. Is it in a very trafficked shopping center, or is it concealed from the main road? Clearly, the more individuals that see the business on a regular basis, the higher the opportunity to construct a returning consumer base. A last thought is the general area demographics. Is the business placed in a densely inhabited city, or is it located on the outskirts of town? Just how might the neighborhood mean household earnings influence future earnings potential?