Business Overview

Fatburger is known for its thick, delicious, mouth-watering burgers. Fatburger stores are always clean, always bright and always playing great music. Fatburger is owned by Fat Brands which also owns Round Table Pizza, Fazoli’s, Johnny Rockets and many other well known restaurants. Fatburger operates in 7 states and over 20 countries. Franchising since 1990, Fatburger currently has over 175+ franchised units. Fatburger requires a minimum net worth of $1,500,000 (excluding automobiles, furnishings and personal residences), with a minimum of $500,000 in liquid assets. Liquid assets are defined as those which can be converted to cash within thirty (30) days.
Affiliated Broker: M&A Business advisors CO Lic # EC.100085004

Financial

  • Asking Price: $870,000
  • Cash Flow: $261,828
  • Gross Revenue: $1,566,498
  • EBITDA: $261,828
  • FF&E: $50,000
  • Inventory: $9,000
  • Inventory Included: N/A
  • Established: 2012

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:2,400
  • Lot Size:N/A
  • Total Number of Employees:15
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

All FF&E to be in good working condition prior to change over.

Is Support & Training Included:

Franchisor offers 1 week of training.

Purpose For Selling:

Retiring

Pros and Cons:

Great location! Inline, endcap unit near the the Aurora City Place shopping center. This unit is located on a pedestrian friendly street with many other small businesses. Parking spots are located right in front of unit. Located less than a half mile from I-255. Many big box stores in nearby vicinity.

Opportunities and Growth:

Growth in brand via new development or acquisition of existing units.

Established Franchise:

This Business Is An Established Franchise

Additional Info

The business was started in 2012, making the business 10 years old.
The deal shall not include inventory valued at $9,000*, which ins't included in the requested price.

The company has 15 employees and resides in a building with disclosed square footage of 2,400 sq ft.
The property is leased by the business for $7,453 per Month

Why is the Current Owner Selling The Business?

There are all types of reasons people resolve to sell operating businesses. Nevertheless, the real factor vs the one they tell you might be 2 absolutely different things. As an example, they might claim "I have too many various commitments" or "I am retiring". For many sellers, these factors stand. But, for some, these might simply be excuses to try to hide the reality of altering demographics, increased competitors, current decrease in incomes, or a range of various other reasons. This is why it is very important that you not rely absolutely on a seller's word, however rather, make use of the vendor's response along with your total due diligence. This will repaint a more practical picture of the business's current scenario.

Existing Debts and Future Obligations

If the existing company is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your deal. Many businesses borrow money in order to cover points such as inventory, payroll, accounts payable, and so on. Remember that in some cases this can imply that profit margins are too small. Lots of companies fall under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may also be future obligations to take into consideration. There might be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with suppliers that must be fulfilled or might cause penalties if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the area draw in new consumers? Most times, businesses have repeat consumers, which form the core of their day-to-day earnings. Specific variables such as new competition sprouting up around the area, roadway building and construction, as well as personnel turn over can affect repeat customers as well as negatively affect future revenues. One important point to think about is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Undoubtedly, the more people that see the business regularly, the better the chance to build a returning consumer base. A final thought is the basic location demographics. Is the business placed in a densely inhabited city, or is it situated on the outside border of town? Just how might the neighborhood typical family earnings influence future income potential?