Listing ID: 83665
Here is a great opportunity to own a busy neighborhood beer and wine store in Montgomery County. Beautifully designed, this business opened in mid-2020 with buildout and improvements costing almost $800,000. It has an extensive selection of craft beers and a wide range of wines. Two intimate bars cater to those who would like to relax and unwind on premises. The store has a number of additional services including lottery, Keno, Western Union, check cashing, and more.
Stylish build-out, plenty of flat screens for viewing sports and other entertainment, dedicated Keno room, located in a busy retail center with great surrounding demographics.
- Asking Price: $600,000
- Cash Flow: N/A
- Gross Revenue: $1,225,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: $95,000
- Inventory Included: N/A
- Established: 2020
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:4,200
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
The venture was founded in 2020, making the business 2 years old.
The transaction doesn't include inventory valued at $95,000*, which ins't included in the requested price.
The real estate is leased by the business for $13,900 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons people decide to sell businesses. Nonetheless, the true factor and the one they tell you might be 2 entirely different things. For instance, they might claim "I have a lot of various responsibilities" or "I am retiring". For numerous sellers, these reasons are valid. But, for some, these might just be justifications to try to hide the reality of transforming demographics, increased competitors, current reduction in incomes, or a variety of various other factors. This is why it is really vital that you not depend totally on a vendor's word, but instead, use the seller's response in conjunction with your overall due diligence. This will repaint a more reasonable picture of the business's current circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which numerous companies are, then you will need to consider this when valuating/preparing your offer. Lots of operating businesses take out loans with the purpose of covering things such as inventory, payroll, accounts payable, and so on. Bear in mind that in some cases this can mean that revenue margins are too tight. Lots of companies come under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future obligations to consider. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing agreements with suppliers that must be met or might result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the location bring in new customers? Many times, operating businesses have repeat consumers, which create the core of their everyday revenues. Particular variables such as new competition growing up around the location, road construction, and also personnel turnover can affect repeat consumers as well as negatively impact future revenues. One important point to consider is the location of the business. Is it in a highly trafficked shopping center, or is it hidden from the main road? Clearly, the more people that see the business on a regular basis, the better the chance to develop a returning customer base. A last thought is the basic area demographics. Is the business situated in a largely populated city, or is it situated on the outside border of town? Just how might the local median house income effect future income potential?