Normalized Cash Flow: $37,000
What they do – the short version
- Small established frame shop with lots of potential, located on a busy street with easy access from downtown.
- Successful top listed Google web site brings 45% of new clients.
- The business serves a full complement of both individual and corporate clients by providing unmatched quality, creativity, craftsmanship and customer service. Satisfied clients have written excellent reviews on the internet, increasing number of visits to the store.
- This is a perfect opportunity for someone interested in arts and crafts with a good eye for color, composition and design. Due to the relaxed nature of the business, owners have been able to bring their school aged children during the summer holidays and after school; thus saving considerably in child care costs.
- The owner is hands-on operator of the business. Along with the part-time staff , they work with their customers, build frames, order supplies and materials and do most of the bookkeeping. Product displays and merchandising are done in-house. No professional certifications are needed for this business.
- When fully operated by its owner, the nature of the custom framing business results in the need for relatively little working capital, as customer orders are partially prepaid and the store has good vendor terms.
- Seller will provide transitional orientation and training.
- Seller may also consider partnership proposals.
Custom framing shop offering a variety of art framing services to the Calgary market.
Middle class, city wide. Due to our excellent customer reviews on-line, and a strong web site presence, we receive clients from not only Calgary but surrounding area as well.
Three years of financial statements and a complete equipment list is available for qualified buyers.
Q. Why you are selling?
A. Family care and personal health issues.
Q. In your words, what does the firm do?
A. We make artwork look better inside our client’s homes so they feel a sense of full satisfaction when they look at it.
Q. What functions does the owner perform? What talents will the new owner have to replace when you leave?
A. Everything, from helping the client to mounting of art. A new owner needs to be artistically inclined, a good eye for colour and design and skillful working with his/her hands. Friendly and outgoing. Owner should be fine working alone. Also Admin and cleaning duties as required.
Q. How long will you stay after the sale to help in the transition?
A. As needed by new owner up to six months.
Q. Can you estimate what it would cost for a competitor to start up?
A. About 35-40K, considering the current pricing of new machinery, computerized mat cutter alone, depending on brand name, costs around 20K. A used one, depending on model, about 8-10. Then their would be the operating costs while waiting to build up a customer base.
Q. Have the accounts receivable been purged of bad debts? (This will is really a lawyer question).