Listing ID: 72466
Only need $85,000 to purchase this already successful Rita’s Water Ice business that is Netting $50,000 in just 7 months!
It’s that time of year to think Rita’s for the upcoming season! It’s ready for a hands off owner that only will have to over see it. Rita’s is BOOMING in this southern PA area. This is your chance to get into the business with the world’s largest and BEST water ice business. The best thing about the business is that everyone wants to work there and you’re closed for FIVE months out of the year!!! Don’t forget that this business is closed 5 months out of the year for the winter! Your only open for 7 months!!
This is also perfect for a hands on owner who wants to get involved with the community and do events to build sales.
- Asking Price: $85,000
- Cash Flow: $50,755
- Gross Revenue: $211,582
- EBITDA: N/A
- FF&E: $70,000
- Inventory: $4,000
- Inventory Included: N/A
- Established: 1980
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:12
- Furniture, Fixtures and Equipment:N/A
Has other obligations.
This Business Is An Established Franchise
The business was founded in 1980, making the business 42 years old.
The transaction shall not include inventory valued at $4,000*, which ins't included in the suggested price.
Why is the Current Owner Selling The Business?
There are all sorts of reasons people resolve to sell operating businesses. However, the true factor and the one they say to you may be 2 completely different things. For instance, they might state "I have way too many other commitments" or "I am retiring". For many sellers, these factors stand. But, for some, these might just be justifications to attempt to conceal the reality of changing demographics, increased competitors, current reduction in profits, or an array of various other reasons. This is why it is really crucial that you not depend completely on a vendor's word, however instead, make use of the vendor's answer combined with your overall due diligence. This will paint an extra reasonable image of the business's existing situation.
Existing Debts and Future Obligations
If the current entity is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your deal. Numerous companies take out loans so as to cover points such as stock, payroll, accounts payable, etc. Remember that occasionally this can suggest that earnings margins are too tight. Many companies come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may additionally be future commitments to think about. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with suppliers that must be met or may result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the location bring in brand-new clients? Many times, businesses have repeat clients, which form the core of their daily revenues. Certain factors such as new competitors growing up around the location, road building, and also employee turn over can impact repeat clients and also adversely impact future revenues. One crucial thing to consider is the placement of the business. Is it in a highly trafficked shopping mall, or is it hidden from the main road? Certainly, the more individuals that see the business often, the better the chance to construct a returning client base. A last thought is the basic area demographics. Is the business located in a largely populated city, or is it situated on the outskirts of town? Just how might the neighborhood average home income effect future income potential?