Business Overview

A franchisee of one of America’s best-known sub shops is ready to on to the next stage of their life, and you can help him accomplish that goal.

The restaurant has 4 full time employees, one part time employee and the owner works 40 hours per week in the business. All furniture, fixtures, equipment and inventory will be transferred to the new buyer. The buyer will need to meet the franchise requirements and be approved by the franchise after an agreed upon offer is in place.

This is a confidential listing and requires proof of funds, or fundability, along with a signed Non-Disclosure Agreement (NDA) in advance of additional information. However, once a buyer can show the financial wherewithal and the NDA is signed, a detailed business review packet is ready and available.

Financial

  • Asking Price: $125,000
  • Cash Flow: $45,415
  • Gross Revenue: $438,192
  • EBITDA: N/A
  • FF&E: $40,000
  • Inventory: $3,000
  • Inventory Included: Yes
  • Established: 1996

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:2,000
  • Lot Size:N/A
  • Total Number of Employees:5
  • Furniture, Fixtures and Equipment:N/A
Is Support & Training Included:

1 week

Purpose For Selling:

retirement

Established Franchise:

This Business Is An Established Franchise

Additional Info

The venture was started in 1996, making the business 26 years old.
The sale shall include inventory valued at $3,000, which is included in the listing price.

The business has 5 employees and is situated in a building with approx. square footage of 2,000 sq ft.
The property is leased by the company for $2,000 per Month

Why is the Current Owner Selling The Business?

There are all types of reasons people resolve to sell companies. Nonetheless, the real reason vs the one they say to you may be 2 totally different things. For instance, they might say "I have way too many various obligations" or "I am retiring". For numerous sellers, these reasons stand. But, for some, these may simply be reasons to try to conceal the reality of transforming demographics, increased competitors, current reduction in profits, or a range of various other factors. This is why it is very essential that you not depend completely on a vendor's word, yet rather, use the seller's solution together with your total due diligence. This will paint a more realistic picture of the business's existing scenario.

Existing Debts and Future Obligations

If the existing entity is in debt, which many companies are, then you will have reason to consider this when valuating/preparing your offer. Lots of operating businesses borrow money so as to cover points such as supplies, payroll, accounts payable, so on and so forth. Remember that sometimes this can suggest that profit margins are too tight. Many businesses fall into 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 agreements with suppliers that must be met or may result in fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the area bring in new customers? Most times, businesses have repeat consumers, which form the core of their everyday profits. Specific aspects such as brand-new competition sprouting up around the location, road construction, and also staff turn over can influence repeat customers and also negatively affect future revenues. One essential point to consider is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Certainly, the more people that see the business often, the greater the possibility to construct a returning customer base. A last idea is the basic area demographics. Is the business situated in a densely inhabited city, or is it located on the edge of town? Just how might the regional typical household earnings impact future income potential?