Listing ID: 83688
Founded and ran for over 30 years, this highly-rated HVAC company comes complete with a statewide HVAC license, an Anne Arundel County HVAC license, a Master HVAC license, a Master Plumbers license, and a Master Gas Fitters license.
What makes this a can’t miss opportunity for the right owner is that, for a negotiable on-going monthly fee, the current owner has agreed to stay on 3 days a week, allowing the purchaser to leverage their extensive license to bid and win work.
This highly rated business includes ratings above 4 out of 5 on Home Advisor (4.47 rating | 59 ratings) and Google (4.2 rating | 26 reviews)
- Asking Price: $70,000
- Cash Flow: $17,964
- Gross Revenue: $56,526
- EBITDA: $17,964
- FF&E: N/A
- Inventory: $27,000
- Inventory Included: Yes
- Established: 1987
- 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
The business was established in 1987, making the business 35 years old.
The deal does include inventory valued at $27,000, which is included in the suggested price.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals choose to sell companies. Nevertheless, the real reason vs the one they tell you might be 2 completely different things. As an example, they may state "I have too many various commitments" or "I am retiring". For numerous sellers, these factors are valid. But also, for some, these may just be justifications to try to conceal the reality of altering demographics, increased competitors, current reduction in revenues, or a variety of other factors. This is why it is very crucial that you not rely entirely on a vendor's word, but rather, make use of the seller's answer along with your total due diligence. This will repaint an extra reasonable image of the business's current circumstance.
Existing Debts and Future Obligations
If the current company is in debt, which many companies are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of businesses borrow money with the purpose of covering things like supplies, payroll, accounts payable, etc. Bear in mind that occasionally this can imply that profit margins are too tight. Numerous businesses fall into a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may additionally be future obligations to take into consideration. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with vendors that have to be fulfilled or might cause penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area draw in new clients? Often times, companies have repeat consumers, which create the core of their everyday earnings. Specific factors such as brand-new competitors sprouting up around the location, roadway construction, and personnel turnover can impact repeat consumers and adversely impact future revenues. One essential thing to take into consideration is the placement of the business. Is it in a highly trafficked shopping mall, or is it hidden from the main road? Certainly, the more people that see the business on a regular basis, the higher the chance to build 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 outskirts of town? Exactly how might the neighborhood typical home earnings effect future income prospects?