The BizBuySell Small Business Community

  • Get Expert Advice

  •  • Find Local Service Professionals

  •  • Share Your Experiences

Pro formas and potential

If I could change some items about listings from both owners and brokers when selling a business it would be cash flow based on projections and potential and asking price based on those factors. Please read first post.

No User Photo

Answer This Question

max 5000 characters

Web Reference (optional)

e.g., ""

Review Community Guidelines

Help keep our Community clean and on topic. The BizBuySell Community is a place where you can discuss your questions, concerns and knowledge with others you can trust. It is not OK to use this forum to solicit others for personal or financial gain, or to rant about personal issues. It's all in the guidelines.

Submit Your Answer
Answers (2)
No User Photo

While I am at it--- Why do these people sign such terrible leases for such steep rent? Of course you aren't making any money, your rent is too high you moron. Some of these places are doing a million in sales but paying 12k a month in rent not including cam and taxes. I would be embarrassed to own a restaurant with a million in sales and making 45k a year.

Jan 31, 2010
No User Photo

In my never ending quest for a profitable business on or very near the ocean on the east coast (under 150k-cash offer) I have seen literally hundreds of listings that were just a case of someone looking for a patsy to take their crappy business off their hands. I just was looking at a gym that had a tremendous cash flow listed and said the numbers were based on a membership of 600. When inquiring about the business, I found the busines had 65 members currently but all i had to do was advertise a little more and membership would go through the roof.
Recently I inquired about a restaurant on the coast of Georgia that was making ownership about 600 a month. That is hundred not thousand. The asking price? 285,000. the owner cited it's tremendous potential and 'location, location, location" as the reason for such a steep price.
Why would anyone pay for potential? Isn't that what start ups are for?

Jan 31, 2010

Start a Discussion