Listing ID: 83242
This is a listing for several publications ranging from one to groups of three, they are all close enough to be managed by one person or owner, and the synergies from not replacing the owners is about $400k.
The group would have 3 presses, 11 newspapers, 4 shoppers, websites, and many special section publications.
- Asking Price: N/A
- Cash Flow: $1,094,702
- Gross Revenue: $3,491,817
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1928
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:30
- Furniture, Fixtures and Equipment:N/A
some offices are rented, most are owned and can be purchased or leased
sellers will offer training as agreed to in a purchase agreement
these publications cover an area of AL and MS, most are less than an hour apart and owning all of them will put you as a major influencer in the markets. very little competition in print, some radio, TV from major markets, but most advertising in the markets are in these publications
several opportunities from combining classified sections, especially on the web sites and charging a second paywall for access to the full classified of all the publications, and another is using your websites to broadcast live sports and other events paid for by sponsors.
The venture was started in 1928, making the business 94 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals decide to sell operating businesses. However, the true factor vs the one they say to you might be 2 totally different things. For instance, they may claim "I have way too many other obligations" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these might just be justifications to attempt to hide the reality of changing demographics, increased competitors, recent decrease in revenues, or an array of various other factors. This is why it is really important that you not depend completely on a vendor's word, however rather, make use of the vendor's solution together with your general due diligence. This will paint a more sensible picture of the business's current scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your offer. Many operating businesses finance loans with the purpose of covering points like supplies, payroll, accounts payable, so on and so forth. Bear in mind that in some cases this can mean that earnings margins are too tight. Many companies fall into a revolving door of taking loans as a way to pay back other loans. Along with debts, there may likewise be future obligations to think about. There may be an outstanding lease on tools or the building where the business resides. The business might have existing contracts with suppliers that have to be met or may result in fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area draw in brand-new consumers? Most times, businesses have repeat customers, which form the core of their daily profits. Specific aspects such as new competitors growing up around the area, roadway construction, as well as employee turn over can affect repeat consumers as well as adversely influence future incomes. One crucial 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 people that see the business regularly, the higher the opportunity to build a returning customer base. A final idea is the general location demographics. Is the business situated in a largely populated city, or is it located on the outside border of town? Just how might the regional mean house earnings influence future earnings potential?