Listing ID: 83573
Profitable, Growing Out patient alcohol & drug treatment center and human care services. This business is CARF accredited and provide the following services.
• Out-Patient business Alcohol/Drug Treatment Services
• Reentry Services
• Psychiatric Services
• Human Care Services & Development
• On Site Drug Testing
This business is well run an perfect for the health professional looking to grow through acquisition.
- Asking Price: $225,000
- Cash Flow: $42,031
- Gross Revenue: $287,033
- EBITDA: N/A
- FF&E: $83,900
- Inventory: N/A
- Inventory Included: N/A
- Established: 2001
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:2,400
- Lot Size:N/A
- Total Number of Employees:10
- Furniture, Fixtures and Equipment:N/A
2,400 square feet. Three, 1st floor office suites. Two for operations and one for administrative purposes.
Two Weeks Transition
One of the fastest growing sectors in the economy. Some competitors have digitized records. All are moving toward a tele-medicine or hybrid business model.
Growth Potential: • Add additional contracts (state & county governments) • Improve referrals (Hospitals, Dept of Health, Inpatient Service providers, Pre-trial, Probation and Court Services) • Increase Insurance referrals (Blue Cross & Blue Shield, Tri-Care, etc.) • Increase funding from Foundations • Continue to improve advertising, website and social media efforts.
The venture was established in 2001, making the business 21 years old.
The business has 10 employees and resides in a building with approx. square footage of 2,400 sq ft.
The building is leased by the company for $2,900 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons people resolve to sell operating businesses. Nonetheless, the genuine factor vs the one they say to you may be 2 completely different things. For instance, they might state "I have a lot of other commitments" or "I am retiring". For lots of sellers, these reasons are valid. However, for some, these may simply be reasons to try to conceal the reality of changing demographics, increased competitors, recent reduction in incomes, or an array of other reasons. This is why it is really important that you not depend completely on a vendor's word, yet instead, use the seller's answer combined with your general due diligence. This will repaint an extra practical picture of the business's present situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of companies are, then you will need to consider this when valuating/preparing your offer. Numerous companies finance loans with the purpose of covering things like inventory, payroll, accounts payable, so on and so forth. Keep in mind that sometimes this can imply that revenue margins are too tight. Lots of businesses fall under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may additionally be future commitments to think about. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that need to be fulfilled or may cause penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do businesses in the location bring in brand-new consumers? Often times, operating businesses have repeat customers, which form the core of their day-to-day earnings. Certain factors such as new competitors growing up around the location, roadway construction, as well as personnel turnover can impact repeat customers as well as adversely influence future earnings. One crucial thing to consider is the placement of the business. Is it in a very trafficked shopping mall, or is it concealed from the main road? Undoubtedly, the more people that see the business regularly, the greater the possibility to develop a returning client base. A final idea is the general area demographics. Is the business situated in a densely populated city, or is it located on the edge of town? Just how might the local average home earnings impact future income potential?