Services - Educational Services

Asking Price	$249,000	Inventory
Gross Income	$302,000	Real Estate
Cash Flow	$72,282	Year Established	2004
FF&E	$80,000*	Employees	2ft; 12 pt

* included in the asking price

** not included in the asking price

This business is the local franchisee of a national network of franchised tutoring centers with over 400 locations in almost every state. The local office was established in April of 2004 and has had sales increases in every year since it opened. The hard work of building out the center, hiring staff, and getting the business established has been done. The opportunity exist for a new owner to continue to grow the business. (The average Center generates $470,000 in annual revenues.). The local market has the potential and demographics to support a center which can meet and beat the average revenue, at the very least, a center that generates revenues comparable to the national average. The franchisor offers hands-on operational support via a call center, conference coaching service and monthly operations manager meetings. The Franchisor offers a Call Center Support program that prospective customers can call in to a toll free number and ask questions to experienced, professional educators about the program. This lead is directed to the local franchise. Approximately 43% of those calls result in testing (an income producing activity). Approximately 63% of students that are tested will be enrolled in the program. This center has a full time Director that manages the business on a day to day basis and the business. A full-time owner s involvement can enhance the business and allow them to grow the potential areas such expand the geographic reach of the business develop the EXAM Prep Services and the No Child Left Behind program. The opportunity for a motivated owner to grow the business to meet the national average of $470,000 annual revenue level, a 50% increase ($170,000) from the current level. The variable cost of an additional $170,000 in revenue is between 30%-40% therefore adding about $100,000 to the curresnt $72,000 for a total of about $172,000 in Seller's Discretioanry Earnings. Very Turnkey!

Facilities: Business leases 2200 sq ft on the first floor of a plaza, located on a major shopping and travel state road, very convenient to customers. Six years remain on current lease. May be able to extend.

Competition: Very little competition. This is a leader in the learning center industry.

Growth/Expansion: This is a $6Billion industry growing by 10-15% per year during the past 5 years. Business currently is offering K-12 tutoring and SAT testing, though SAT testing has not been promoted. Additional revenues can be generated by promoting SAT testing as well as offering in-school tutoring through the Federal Government s No Child Left Behind program. Additional towns can be targeted for higher Learning Center revenue potential.

Financing: With $150,000 down payment, Seller will finance the balance, term is negotiable

Support/Training: Franchisor will provide the required training which includes 2 weeks of managing the business and 3 additional weeks on the various aspects of the program. The Franchisor training is done at corporate HQ during the week. There is no additional cost to the training. Buyer is responsible for their own travel and living expenses. Seller will provide 1 week transition

Reason Selling: Seller wants to focus on profession in the Telecommunications Industry