Listing ID: 83828
Major brand convenience store and car wash with a national brand fast food restaurant tenant located at the intersection of two major WI highways. The site has good visibility in a highway commercial area of the with convenience stores, motels, restaurants in the neighborhood. The business was established in 1997 when the store was built. The fast food tenant was added at the same time and the car wash was constructed in 2005. The store offers a complete line of convenience items, packaged food, cigarettes/tobacco products, lottery, candy, packaged beverages, and sundries. A beer cave and
selection of liquor products completes the inside offerings.
- Asking Price: $2,675,000
- Cash Flow: $428,000
- Gross Revenue: $6,375,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: $120,000
- Inventory Included: N/A
- Established: 1997
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:5,698
- Lot Size:N/A
- Total Number of Employees:8
- Furniture, Fixtures and Equipment:N/A
Convenience store, with walk in coolers, liquor store, 5 canopy covered islands plus 2,600 sf leased fast food restaurant with drive up. Separate 2,376 square foot car wash building with PDQ automatic wash and 1 wand bay.
Growing highway traffic. New competition coming to community.
Good visibility, and access with a large number of fuel products, and inside offerings that include beer cave and liquor. National brand fast food restaurant also helps attract highway traffic.
The venture was established in 1997, making the business 25 years old.
The deal won't include inventory valued at $120,000*, which ins't included in the listing price.
The business has 8 employees and resides in a building with estimated square footage of 5,698 sq ft.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals choose to sell businesses. Nevertheless, the genuine factor and the one they say to you might be 2 completely different things. For instance, they might say "I have too many other commitments" or "I am retiring". For numerous sellers, these factors are valid. But also, for some, these might just be excuses to attempt to hide the reality of changing demographics, increased competition, current decrease in earnings, or a range of various other reasons. This is why it is extremely essential that you not count absolutely on a seller's word, however rather, make use of the vendor's answer combined with your overall due diligence. This will repaint an extra practical picture of the business's existing 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 companies borrow money in order to cover things such as supplies, payroll, accounts payable, and so on. Keep in mind that occasionally this can indicate that revenue margins are too small. Many businesses fall into a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may likewise be future commitments to think about. There may be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with suppliers that need to be met or may cause charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area draw in new consumers? Often times, operating businesses have repeat clients, which form the core of their daily earnings. Certain factors such as new competitors growing up around the area, road building, as well as employee turn over can influence repeat clients and also adversely influence future earnings. One vital point to think about is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the highway? Clearly, the more individuals that see the business on a regular basis, the greater 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 outside border of town? Just how might the neighborhood mean house income influence future earnings prospects?