Listing ID: 83226
Business Overview
This purchase can be a loan assumption with small down payment if bank approves.
One of Alabama’s most widely read weekly newspapers, with a solid tradition of providing community service and news to the County; a source for local news and legal advertising. There is an abundance of space in the Office building, so the owners also offer Office Product sales that add to revenue as well as drive local traffic to the newspaper office – where often a “chat” can provide a lead on local news. this publication and property can be purchased separately $300k (publication) and $450k (property).
The second publication is the County’s newspaper and provides coverage across Southeast Alabama to a population that is concentrated close to the Florida line.
The publication has an exclusive hold on the Geneva County market and is the sole outlet for all legal advertising from the county and the four municipalities they serve.
This publication can be purchased separately for $350k (publication) and $100k (property – not including collectables in office).
Financial
- Asking Price: $650,000
- Cash Flow: $169,000
- Gross Revenue: $589,000
- EBITDA: N/A
- FF&E: $31,000
- Inventory: $2,200
- Inventory Included: Yes
- Established: 1900
Detailed Information
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:21,000
- Lot Size:N/A
- Total Number of Employees:11
- Furniture, Fixtures and Equipment:N/A
There are two office locations: The smaller building is approximately 4,000 sq. ft. with a recently installed Duro-Last synthetic roof at cost of $25,000 and it has a collection of metal signs and memorabilia which are not included in the sale unless a buyer wants to negotiate for them separately. The second property has open land that extends to the street behind the building with space for future expansion or new development. This building is approximately 17,000 sq. ft. and also houses an office supply store. The present roof is in good condition. there is an operational press at this location but it is not currently being used.
Seller will train as agreed to in a purchase agreement
retiring, health
no direct print competition, some radio competes for adv.
Several opportunities for growth, restart shopper that was stopped during Covid, use web sites for live coverage of local events and sports, work closely with local college
Additional Info
The venture was started in 1900, making the business 122 years old.
The sale does include inventory valued at $2,200, which is included in the asking price.
The company has 11 employees and is located in a building with disclosed square footage of 21,000 sq ft.
Why is the Current Owner Selling The Business?
There are all sorts of reasons people resolve to sell companies. Nevertheless, the true reason vs the one they tell you might be 2 totally different things. For instance, they might state "I have too many various commitments" or "I am retiring". For lots of sellers, these reasons are valid. But also, for some, these might simply be reasons to attempt to hide the reality of changing demographics, increased competitors, current decrease in incomes, or a variety of other factors. This is why it is extremely important that you not rely completely on a vendor's word, but rather, use the seller's response in conjunction with your overall due diligence. This will paint a much more sensible picture of the business's present scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which many businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Many operating businesses borrow money in order to cover things such as inventory, payroll, accounts payable, etc. Keep in mind that sometimes this can imply that earnings margins are too small. Lots of companies fall under a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may likewise be future obligations to consider. There might be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with vendors that have to be satisfied or may cause penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the location bring in new clients? Most times, companies have repeat clients, which form the core of their day-to-day revenues. Particular variables such as new competitors growing up around the area, roadway building, and also personnel turnover can impact repeat customers as well as negatively affect future incomes. One essential thing to consider is the placement of the business. Is it in a very trafficked shopping center, or is it concealed from the main road? Obviously, the more individuals that see the business regularly, the better the opportunity to construct a returning customer base. A final idea is the basic area demographics. Is the business located in a largely populated city, or is it located on the outskirts of town? Just how might the neighborhood median house income influence future revenue potential?
