How does this vending machine business ad sound. Does it look fair? How can I judge how much money the machines really make.
Financials (glossary of terms)
Asking: $149,000
Gross: $125,962
Cash Flow: $30,177
FF&E: $70,000 (included in the asking price)
Inventory: $11,000 (not included in the asking price)
Business Summary
This Vending business has been in business for 10 years. His customer base is made up of 25 accounts consisting of a large printing business (8%), Textile business (8%), Various car dealers (60%), Warehouse (5%) and Various businesses (19%). Currently he rents a small warehouse and has one employee. The owner said that the business can be operated from home with the current volume. The vending machines hold $7,000 to $8,000 of inventory at cost and he maintains a inventory at his warehouse of $4,000 to $5,000 at cost. He has 79 vending machines in place. The vending machines dispense snack and drinks. The snack vending machines are 4 and 5 wide and were manufactured by select-a-vend. The snack vending machines are 7 and 8 years old. The drink vending machines are multi priced and were manufactured by Dixie Narco and are 2 and 3 years old. There are some combo bottle and can vending machines. All have money changers. Twenty nine of the vending machines are owned by a major supplier and as long as product is ordered through the supplier there is no cost for use or repair of the vending machines. There are two trucks that have been designed for bulk vending by Omni Vans out of Atlanta Ga. (1995 Isuzu NPR and 1997 Dodge 2500) The fair market value of the equipment is $70,000 which includes 40 owned vending machines and the 2 bulk vending trucks.
General Information
Year Established: 1996
Employees: 1
Facilities: (home-based) The current volume can be operated out of a buyers home. If volume doubled a wharehouse would be needed.
Market Outlook
Competition: He has some very good accounts that have been with him for many years.
Growth/Expansion: Growth is only limited to the effort and time a new owner is willing to invest.
About the Sale
Financing: Only a small amount of the selling price.
Support/Training: The seller will train for up to two weeks at no cost.
Reason Selling: The seller wants to pursue unrelated opportunities.
Financials (glossary of terms)
Asking: $149,000
Gross: $125,962
Cash Flow: $30,177
FF&E: $70,000 (included in the asking price)
Inventory: $11,000 (not included in the asking price)
Business Summary
This Vending business has been in business for 10 years. His customer base is made up of 25 accounts consisting of a large printing business (8%), Textile business (8%), Various car dealers (60%), Warehouse (5%) and Various businesses (19%). Currently he rents a small warehouse and has one employee. The owner said that the business can be operated from home with the current volume. The vending machines hold $7,000 to $8,000 of inventory at cost and he maintains a inventory at his warehouse of $4,000 to $5,000 at cost. He has 79 vending machines in place. The vending machines dispense snack and drinks. The snack vending machines are 4 and 5 wide and were manufactured by select-a-vend. The snack vending machines are 7 and 8 years old. The drink vending machines are multi priced and were manufactured by Dixie Narco and are 2 and 3 years old. There are some combo bottle and can vending machines. All have money changers. Twenty nine of the vending machines are owned by a major supplier and as long as product is ordered through the supplier there is no cost for use or repair of the vending machines. There are two trucks that have been designed for bulk vending by Omni Vans out of Atlanta Ga. (1995 Isuzu NPR and 1997 Dodge 2500) The fair market value of the equipment is $70,000 which includes 40 owned vending machines and the 2 bulk vending trucks.
General Information
Year Established: 1996
Employees: 1
Facilities: (home-based) The current volume can be operated out of a buyers home. If volume doubled a wharehouse would be needed.
Market Outlook
Competition: He has some very good accounts that have been with him for many years.
Growth/Expansion: Growth is only limited to the effort and time a new owner is willing to invest.
About the Sale
Financing: Only a small amount of the selling price.
Support/Training: The seller will train for up to two weeks at no cost.
Reason Selling: The seller wants to pursue unrelated opportunities.
