Listing ID: 83234
This well-established, profitable, Daycare Center is located in the Mississippi Gulf Coast area.
Having been owned and operated by the same owner for Forty-Seven years the business is well established and has a fully trained staff of dedicated and enthusiastic employees.
After years of successfully building the business from the ground up, the owner is ready to retire to enjoy the fruits of their labor and pass this profitable business opportunity on to the right buyer. This opportunity is ideal for a hardworking professional with a background in childcare education or any business background. It is helpful but not necessary. Training and transition support are in place for the new owner.
- Asking Price: $335,000
- Cash Flow: N/A
- Gross Revenue: $434,936
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1974
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
Seller will negotiate a transition period
The company was established in 1974, making the business 48 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons individuals resolve to sell companies. Nevertheless, the genuine reason vs the one they tell you might be 2 entirely different things. For instance, they may state "I have too many various commitments" or "I am retiring". For many sellers, these reasons are valid. But, for some, these might just be reasons to attempt to hide the reality of changing demographics, increased competitors, current decrease in profits, or a variety of various other reasons. This is why it is extremely important that you not depend totally on a seller's word, however rather, utilize the vendor's response together with your general due diligence. This will paint an extra practical image of the business's existing situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of businesses are, then you will need to consider this when valuating/preparing your offer. Lots of operating businesses finance loans with the purpose of covering points such as inventory, payroll, accounts payable, so on and so forth. Bear in mind that sometimes this can mean that profit margins are too tight. Numerous companies fall under 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 take into consideration. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that must be fulfilled or might result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area bring in new customers? Often times, operating businesses have repeat clients, which create the core of their day-to-day revenues. Certain factors such as new competitors sprouting up around the location, road building and construction, as well as employee turn over can affect repeat customers as well as negatively impact future revenues. One crucial thing to take into consideration is the placement of the business. Is it in a highly trafficked shopping mall, or is it concealed from the main road? Certainly, the more individuals that see the business regularly, the higher the possibility to develop a returning client base. A final idea is the general area demographics. Is the business located in a densely populated city, or is it located on the outside border of town? Just how might the regional mean family earnings effect future revenue potential?