Does anyone know of an attorney and accountant in the Philadelphia area who can evaluate the ins and outs of a business we want to purchase? The business comes with a property! Thank you.
Feel free to PM me with more info (e.g. what kind of business is it? What's the size of the deal? etc.). It's hard to recommend an attorney or an accountant without knowing the underlying details since there's such wide range of prices and services available.
Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it as legal advice. Always consult with your attorney before you rely on the above information.
Thanks for the response, Chris! It's a retail business that comes with the property. The property is worth approx 100K and the owner wants $495K for property and business. The business apparently generates: 11,500/ weekly sales, Utilities : 1700/month , Employees wage : 3500/week.
You may want to contact a CPA before an Attorney. The Attorney will help you with the sale while a CPA could help you evaluate the deal. You really want to see a 3-5 year payback on the investment after paying yourself a normal wage. You would probably want to own the property separately and pay yourself rent. A CPA could also provide you with financial statistics about the company's specific industry. Unless you really know the business and the owner's reasons for leaving, you should do your due diligence first.
At a glance, way over priced. Typical retail, at best, cost of goods is 50% of selling price (and of course higher for clearances, non sellers, etc). So that's about $5500, maybe, weekly gross margin, less $3500, leaves $2k a week, or $8k a month to pay Everything else other than utilities.
What I mean by retail is a bar. Does that lower the 50% cost of goods considering it's liquor and not merchandise?
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