Listing ID: 83701
This highly profitable portable toilet rental business remained strong during COVID, took no PPP loans, and continued to grow through new and repeat business. A trusted partner for 15 years, the company has been providing a wide array of commercial portable toilet rentals in the NVA, DC, MD area. In addition, there is a small portion of the business in waste disposal services. Don’t pass up an exceptional business acquisition opportunity!
- Asking Price: $899,999
- Cash Flow: $224,416
- Gross Revenue: $756,554
- EBITDA: N/A
- FF&E: $540,000
- Inventory: N/A
- Inventory Included: N/A
- Established: 2006
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
The buyer will need to move the business to a different location.
Will train for 2 weeks @ $0 cost.
Owners would like to retire.
Growth expected in the coming years due to strong relationships (repeat business) and large projects that shifted from 2021 to 2022 (due to supply chain delays).
The venture was started in 2006, making the business 16 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why people decide to sell businesses. However, the true factor vs the one they tell you may be 2 entirely different things. As an example, they might state "I have too many other responsibilities" or "I am retiring". For numerous sellers, these reasons are valid. However, for some, these may simply be excuses to attempt to conceal the reality of transforming demographics, increased competitors, current decrease in revenues, or a variety of various other factors. This is why it is really essential that you not count entirely on a seller's word, but rather, make use of the vendor's response combined with your overall due diligence. This will paint an extra realistic picture of the business's present situation.
Existing Debts and Future Obligations
If the existing company is in debt, which many companies are, then you will certainly need to consider this when valuating/preparing your offer. Many businesses take out loans with the purpose of covering items such as stock, payroll, accounts payable, and so on. Bear in mind that sometimes this can suggest that profit margins are too small. Lots of businesses fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future commitments to take into consideration. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with vendors that should be satisfied or might result in penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location draw in new consumers? Often times, companies have repeat consumers, which develop the core of their day-to-day revenues. Particular variables such as brand-new competitors growing up around the location, road building, and also employee turnover can influence repeat customers and negatively influence future revenues. One vital thing to think about is the location of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Undoubtedly, the more individuals that see the business regularly, the greater the opportunity to build a returning customer base. A final thought is the basic area demographics. Is the business situated in a largely populated city, or is it situated on the outskirts of town? Just how might the regional average household income influence future revenue prospects?