Listing ID: 83274
This Top Restoration Franchise Brand Offers Fire, Water, Mold Cleanup, and Restoration Services. The company has been in business for over 34 years. Emergency service work brings in consistent sales year over year and 2021 was a great year! Business is booming with opportunity for growth by adding construction and other services. This franchise is a multi unit location business covering different territories. Headquarters offers a central location to cover all territories eliminating overhead for multiple locations. Customers range from Commercial, Residential, and Insurance Claims.
Started in 1987 and has grown to 5 franchises covering multiple markets.
This business is one of the Top Franchise brands in the Restoration Industry ranked by Entrepreneur Magazine. Servpro and other small independents are also located in the market.
General Construction on Mitigation Jobs, Insurance Program Work, Storm Travel, Large Loss Commercial Jobs
Commercial Industrial Building with Office Space and Warehouse.
- Asking Price: $1,147,999
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: $197,000
- Inventory: $5,000
- Inventory Included: Yes
- Established: 1987
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:7,000
- Lot Size:N/A
- Total Number of Employees:13
- Furniture, Fixtures and Equipment:N/A
The company was founded in 1987, making the business 35 years old.
The transaction will include inventory valued at $5,000, which is included in the suggested price.
The business has 13 employees and is located in a building with approx. square footage of 7,000 sq ft.
The property is leased by the company for $3,000 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons people resolve to sell operating businesses. However, the genuine reason vs the one they say to you might be 2 totally different things. For instance, they may claim "I have a lot of various responsibilities" or "I am retiring". For lots of sellers, these reasons are valid. But, for some, these may simply be justifications to try to hide the reality of altering demographics, increased competition, current reduction in earnings, or a range of various other factors. This is why it is very important that you not rely totally on a vendor's word, yet instead, make use of the vendor's answer in conjunction with your total due diligence. This will paint an extra realistic image of the business's present situation.
Existing Debts and Future Obligations
If the current entity is in debt, which lots of companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Numerous businesses finance loans in order to cover points like inventory, payroll, accounts payable, so on and so forth. Remember that occasionally this can imply that earnings margins are too small. Lots of businesses fall under a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may likewise be future commitments to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that have to be satisfied or might cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the location bring in new consumers? Often times, operating businesses have repeat consumers, which develop the core of their everyday profits. Specific elements such as new competition growing up around the area, roadway building, as well as employee turnover can influence repeat consumers and adversely influence future profits. One vital thing to consider is the placement of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Undoubtedly, the more individuals that see the business often, the higher the chance to develop a returning consumer base. A last idea is the basic location demographics. Is the business located in a densely populated city, or is it situated on the outskirts of town? How might the neighborhood typical home income influence future earnings prospects?