Listing ID: 72903
Industry leader in hauling junk and moving. This franchise business provides national brand awareness, a national call center to schedule appointments and support customer service. The current owner started in 2016 and has grown the business since day one. The company is well positioned to continue rapid growth in its territory. A well established customer base allows for this business to be taken to the next level and this will improve profitability.
- Asking Price: $495,000
- Cash Flow: $255,000
- Gross Revenue: $930,000
- EBITDA: $210,000
- FF&E: N/A
- Inventory: $100,000
- Inventory Included: Yes
- Established: 2016
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,500
- Lot Size:N/A
- Total Number of Employees:10
- Furniture, Fixtures and Equipment:N/A
1500 sq. ft.
on going training and support included.
This Business Is An Established Franchise
The venture was started in 2016, making the business 6 years old.
The deal shall include inventory valued at $100,000, which is included in the asking price.
The company has 10 employees and is located in a building with estimated square footage of 1,500 sq ft.
The property is leased by the company for $1,750 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons why individuals decide to sell businesses. Nonetheless, the genuine reason and the one they say to you may be 2 entirely different things. For instance, they may claim "I have way too many various commitments" or "I am retiring". For lots of sellers, these factors are valid. However, for some, these may simply be reasons to try to hide the reality of altering demographics, increased competitors, recent decrease in revenues, or a variety of other factors. This is why it is really essential that you not depend totally on a vendor's word, yet instead, use the seller's answer along with your general due diligence. This will repaint an extra practical image of the business's existing circumstance.
Existing Debts and Future Obligations
If the existing entity is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your offer. Lots of businesses take out loans in order to cover things like supplies, payroll, accounts payable, so on and so forth. Keep in mind that sometimes this can suggest that earnings margins are too small. Numerous companies fall into a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may additionally 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 have to be satisfied or might result in penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the location draw in new clients? Most times, businesses have repeat clients, which form the core of their day-to-day earnings. Specific factors such as new competitors sprouting up around the location, roadway construction, and staff turn over can influence repeat consumers and also adversely influence future earnings. One crucial point to take into consideration is the location of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Certainly, the more people that see the business often, the better the opportunity to develop a returning consumer base. A last idea is the basic location demographics. Is the business located in a largely populated city, or is it located on the edge of town? Exactly how might the regional typical household income impact future income potential?