Business Overview

Two well established, remodeled QSR franchise stores (bundle). Current 2021 net sales are over $1m. Low rent below 6% of net sales. Clean books, great location and a great lease. The current owner is semi-absentee and provides oversight to the business, while a full staff runs the business. Turn key and training will be provided by the Franchisor. Please contact Amit Wadhera for more information.

Financial

  • Asking Price: $449,000
  • Cash Flow: $98,642
  • Gross Revenue: $1,169,012
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2006

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:N/A
  • Furniture, Fixtures and Equipment:N/A
Purpose For Selling:

Other business

Established Franchise:

This Business Is An Established Franchise

Additional Info

The venture was established in 2006, making the business 16 years old.

Why is the Current Owner Selling The Business?

There are all types of reasons why people choose to sell companies. Nonetheless, the true reason vs the one they say to you may be 2 entirely different things. As an example, they might say "I have too many other commitments" or "I am retiring". For numerous sellers, these factors are valid. But also, for some, these might simply be excuses to attempt to conceal the reality of changing demographics, increased competitors, current decrease in revenues, or a variety of other reasons. This is why it is extremely essential that you not depend entirely on a seller's word, yet rather, use the vendor's answer combined with your total due diligence. This will repaint an extra reasonable picture of the business's existing scenario.

Existing Debts and Future Obligations

If the current entity is in debt, which lots of businesses are, then you will need to consider this when valuating/preparing your deal. Many operating businesses finance loans so as to cover things like supplies, payroll, accounts payable, so on and so forth. Remember that occasionally this can indicate that profit margins are too tight. Numerous organisations fall into a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may additionally be future obligations 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 vendors that need to be satisfied or may lead to penalties if canceled early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the area bring in brand-new customers? Many times, operating businesses have repeat customers, which form the core of their day-to-day revenues. Particular aspects such as new competitors sprouting up around the location, roadway construction, and staff turnover can influence repeat customers and negatively affect future incomes. One essential thing to think about is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Obviously, the more individuals that see the business on a regular basis, the greater the opportunity to develop a returning consumer base. A final thought is the basic location demographics. Is the business located in a largely populated city, or is it located on the outside border of town? How might the local mean house income impact future earnings potential?