Listing ID: 83002
Don’t miss a great opportunity to own a well-established The UPS Store franchise in Lufkin, TX! For fastest results, send an inquiry and someone will respond to you via email within the next two business days.
- Asking Price: $310,000
- Cash Flow: N/A
- Gross Revenue: N/A
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
This Business Is An Established Franchise
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals resolve to sell operating businesses. Nevertheless, the genuine factor and the one they tell you might be 2 totally different things. As an example, they may say "I have a lot of other responsibilities" or "I am retiring". For lots of sellers, these factors are valid. However, for some, these might simply be excuses to attempt to hide the reality of changing demographics, increased competitors, current decrease in earnings, or a range of various other reasons. This is why it is extremely important that you not rely entirely on a seller's word, yet instead, utilize the seller's response along with your total due diligence. This will paint an extra practical image of the business's current situation.
Existing Debts and Future Obligations
If the current business is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your deal. Lots of businesses take out loans with the purpose of covering things such as stock, payroll, accounts payable, so on and so forth. Keep in mind that occasionally this can imply that revenue margins are too thin. Many 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 likewise be future commitments to take into consideration. There might be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with suppliers that have to be met or may cause penalties if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area bring in brand-new consumers? Many times, operating businesses have repeat customers, which form the core of their daily profits. Certain elements such as brand-new competition growing up around the area, roadway building, and also employee turn over can impact repeat clients as well as negatively affect future revenues. One vital point to consider is the area of the business. Is it in a highly trafficked shopping center, or is it hidden from the main road? Certainly, the more people that see the business regularly, the higher the chance to build a returning client base. A last idea is the basic area demographics. Is the business situated in a largely populated city, or is it situated on the outside border of town? Exactly how might the neighborhood median family income effect future revenue prospects?