Listing ID: 84130
Very well established funeral home. Sale includes business, pre-need sales, building and parking lots. All inquiries must sign a non-disclosure agreement.
- Asking Price: $1,700,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1950
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:10,144
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
The venture was started in 1950, making the business 72 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals decide to sell companies. However, the true reason and the one they tell you may be 2 totally different things. As an example, they might say "I have a lot of other responsibilities" or "I am retiring". For many sellers, these factors are valid. But, for some, these might simply be reasons to try to hide the reality of changing demographics, increased competitors, recent reduction in profits, or a range of various other reasons. This is why it is really crucial that you not count absolutely on a vendor's word, however instead, use the seller's response together with your overall due diligence. This will repaint a more sensible picture of the business's current scenario.
Existing Debts and Future Obligations
If the existing company is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your deal. Lots of companies take out loans with the purpose of covering things such as inventory, payroll, accounts payable, etc. Bear in mind that occasionally this can mean that revenue margins are too tight. Numerous organisations fall into a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may also be future obligations to think about. There might be an outstanding lease on equipment or the structure where the business resides. The business might have existing contracts with suppliers that have to be fulfilled or may lead to charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location bring in new clients? Often times, businesses have repeat customers, which create the core of their everyday revenues. Certain factors such as brand-new competition growing up around the area, roadway building and construction, as well as employee turn over can impact repeat consumers as well as negatively influence future earnings. One important thing to take into consideration is the area of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Obviously, the more individuals that see the business often, the higher the possibility to build a returning customer base. A last idea is the basic location demographics. Is the business located in a densely populated city, or is it located on the outskirts of town? How might the local average household income influence future revenue potential?