Listing ID: 83985
Centrally located, this beautifully built store has been in business for over 3 years. The owner is willing to stay on as a consultant and/or pharmacist which will insure a smooth transition to the buyer. This well run pharmacy did $1,020,000 a year in sales in 2021 ($287,000 in the 4th Quarter of 2021 so on pace to do $1,200,000 in 2022). Script count is 250-275 a week. The store is 75% delivery. The majority of the delivery started during the pandemic and most customers just decided to keep going with delivery for convenience. Most deliveries are within a 3 mile radius and the owner does all the deliveries herself.
An existing independent pharmacy in Orange County could simply buy the delivery files and start to service the customers out of their existing location so they do not incur the added rent and labor expense of another pharmacy. Delivery could be increased by the seller to 100% under this scenario. This also bypasses getting a new pharmacy license and waiting on the BOP to issue the license.
- Asking Price: $195,000
- Cash Flow: $85,000
- Gross Revenue: $1,020,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: $30,000
- Inventory Included: N/A
- Established: 2018
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,100
- Lot Size:N/A
- Total Number of Employees:1
- Furniture, Fixtures and Equipment:N/A
Nicely Built out Retail Pharmacy in a small retail shopping center - Leased: ?1,100 square foot space paying $3,400 a month which includes NNN. Lease expires in July 2022 but the owner has 2 five year options.
Seller will provide training to help the purchaser take over providing a smooth transition while learning the business and its operating activities, gaining and understanding of the customers and vendor partners, and building a working relationship with the employees.
Seller wants to spend more time with family
?A couple independents and chains in the area
The venture was established in 2018, making the business 4 years old.
The deal shall not include inventory valued at $30,000*, which ins't included in the asking price.
The business has 1 employees and resides in a building with estimated square footage of 1,100 sq ft.
The property is leased by the business for $3,400 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons people decide to sell operating businesses. Nonetheless, the real reason vs the one they say to you may be 2 absolutely different things. As an example, they may state "I have a lot of other commitments" or "I am retiring". For numerous sellers, these reasons stand. But also, for some, these might simply be excuses to attempt to conceal the reality of changing demographics, increased competition, current reduction in revenues, or a range of other reasons. This is why it is very essential that you not depend totally on a seller's word, but instead, use the vendor's response along with your overall due diligence. This will paint an extra reasonable picture of the business's present circumstance.
Existing Debts and Future Obligations
If the current entity is in debt, which many companies are, then you will have reason to consider this when valuating/preparing your offer. Many operating businesses finance loans so as to cover things like stock, payroll, accounts payable, and so on. Keep in mind that occasionally this can mean that earnings margins are too tight. Lots of companies come under a revolving door of taking loans as a way to pay back other loans. In addition to debts, there may additionally be future commitments to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with vendors that should be satisfied or might result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do companies in the area draw in brand-new customers? Often times, operating businesses have repeat customers, which develop the core of their daily profits. Certain elements such as brand-new competitors growing up around the location, road building and construction, and also personnel turn over can influence repeat clients and also negatively influence future profits. One vital point to take into consideration is the area of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Obviously, the more people that see the business regularly, the greater the chance to build a returning client base. A final idea is the basic area demographics. Is the business situated in a largely inhabited city, or is it located on the outskirts of town? Just how might the regional typical home earnings impact future earnings potential?