Listing ID: 76857
Popular sandwich franchise with a well-known brand available for acquisition in a quiet mountain town in Northern California. This is a great opportunity for an existing franchisee to add on another location or for an owner operator who wants to be close to nature. Local scenic destinations bring tourists to frequent the location with little competition. Rent is extremely low around $1,300 for 1500 sq ft. Franchisor provides training and support. Call Listing Agent Amit Wadhera today for more information!
- Asking Price: $119,000
- Cash Flow: $80,529
- Gross Revenue: $454,386
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2008
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:1,500
- Lot Size:N/A
- Total Number of Employees:9
- Furniture, Fixtures and Equipment:N/A
This Business Is An Established Franchise
The company was founded in 2008, making the business 14 years old.
The company has 9 employees and resides in a building with disclosed square footage of 1,500 sq ft.
The building is leased by the business for $1,272 per Month
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals resolve to sell businesses. However, the real factor and the one they say to you may be 2 completely different things. For instance, they might claim "I have a lot of other commitments" or "I am retiring". For lots of sellers, these factors are valid. However, for some, these might simply be excuses to try to hide the reality of altering demographics, increased competitors, recent decrease in profits, or an array of various other reasons. This is why it is really crucial that you not count totally on a seller's word, but instead, use the seller's answer along with your general due diligence. This will paint a much more reasonable image of the business's present scenario.
Existing Debts and Future Obligations
If the current business is in debt, which numerous businesses are, then you will certainly need to consider this when valuating/preparing your offer. Numerous operating businesses finance loans in order to cover items like supplies, payroll, accounts payable, etc. Bear in mind that sometimes this can suggest that earnings margins are too small. Numerous companies come under 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 commitments to consider. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with vendors that have to be met or may result in fines if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the area draw in brand-new consumers? Many times, companies have repeat customers, which develop the core of their day-to-day revenues. Particular elements such as brand-new competitors sprouting up around the location, road construction, and personnel turn over can impact repeat consumers as well as negatively affect future earnings. One crucial point to consider is the area of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Obviously, the more people that see the business regularly, the greater the opportunity to build a returning client base. A final thought is the basic location demographics. Is the business placed in a largely populated city, or is it located on the edge of town? How might the local average family income impact future earnings potential?