Seller Financing Available
IT/Computer Sales & Svc - Seller Will Finance With 20% Down
Profitable 20 Year Old IT Business - Owner Retiring
Greene County, MO
Highlights of Business
• Well-established – business opened in 1993
• Seller will finance with only 20% down
• Immediate profitability – take over one day, be profitable the next
• Well-trained long time employees with combined experience of over 30 years
• Seller will train
• Business not open evenings or weekends
• Upside potential through adding additional services and/or expanding market areas served
• Seller will sign a non-compete agreement
• Great location and visibility – building is adjacent to a major highway
• Space currently used by seller’s spouse’s business could be rented for $650 per month
The owner of this successful business and their spouse are ready to retire and enjoy their motor home full time.
The business was built on sales and service of computers and computer networks, for individuals, businesses, and institutions in the area. Customers include local schools, government offices, and medical offices. The company has recently added sales and installation of security cameras and equipment. The company has benefited greatly from being the largest computer sales and repair business within 100 miles, with very little competition.
The seller of this business is representing that the Discretionary Earnings of the business was $103,642 in 2013 and that they can prove it to a buyer and their accountant’s satisfaction. That amount is AFTER subtracting the estimated debt service on the purchase of the real estate of $23,590 per year ($325,000 less 20%, balance financed over 20 years at 5.75%)
Because the seller believes in the future success of this business, they will finance the purchase price with only 20% down, balance over 20 years, at 5.75 % interest. Cash needed from buyer: $559,900 x 20% = $111,980 down payment plus approximately $30,000 in working capital. Funds must be unborrowed and documented as such. Buyer should verify with their advisers the appropriate amount of working capital needed for this business.
The cash flow after debt service on both business and real estate, based on 2013 results, would have been $88,995, which is the amount a buyer would have had available to pay themselves a salary and provide a Return on Investment on their down payment, had they owned the business that year and operated it no better nor worse than did the seller. For more information, see Return on Investment Calculations for the business by clicking on the attached document below.
The purchase price includes all the assets used in the business to produce the Discretionary Earnings on which the value of the business is based, including the furniture, trade fixtures, equipment, the name of the business, and other intangible assets such as the website and the goodwill which has built up over the years. The seller estimates that the value of the equipment and other tangible assets used in the business is approximately $23,000.
This is a great business for someone who wants to buy a business that will be profitable from the first day they own it, doesn’t want to work nights or weekends, and wants to live in a family-oriented area with low crime and nearby recreational opportunities.
Please click on the attached document below to view the Seller's Disclosure Statement and for more in-depth information about this very nice business for sale.