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Full Service Pizza Franchise in Excellent Location

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Complete NDA for Full Overview

Price: $359,000

Annual Revenue: $850,000

Minimum Equity Required: $150,000

SDE: $155,000

Location: Nova Scotia

Industry: Eating and Drinking places

ID: 1345

Status: Under Contract

Description

Location, Location, Location.....that's one of many things you'll be feeling good about when you acquire this long standing franchised pizza operation that has been a staple in this constantly growing community.

Are you ready to roll up your sleeves and get involved in the daily operations or are you seeking a business that has been run for over 15 years without ownership being involved in the daily operations?

Key highlights include:
- one of the best locations you could think of having when it comes to being in the centre of a diverse and growing market.
- town has been growing for many years and there is much more on the horizon
- longstanding location and always a new clientele to appeal to each year.
- has been priced to consider update requirements as per brand standards.
- reason for sale is other business interests.

The owner is selling 100% of the authorized and issued share capital of the company. The offering price considers Working Capital is adjusted at $0, meaning the negotiated working capital amount will be in addition to the offering price. See Financial section for more details.

By completing the NDA and becoming adequately qualified, you will be sent a full Offering Memorandum that will answer most, if not all, of your questions.

Financial Information

Fiscal Year End is January 30. Historical Annual Revenues and Seller's Discretionary Earnings:

2022
Revenue: $870,000
SDE: $155,000

2021
Revenue: $770,000
SDE: $160,000

2020
Revenue: $920,000
SDE: $165,000

2019
Revenue: $915,000
SDE: $160,000

Balance Sheet Items:
- Inventory averages less than $10k
- Company will be delivered free of debt, or as otherwise negotiated.

Annual Return on Investment
Based upon a purchase price of $359,000, with an average portion of the purchase price being financed with normal commercial finance terms, we anticipate an annual Return on Investment of more than 45% ** (Details of these calculations provided upon request).

* Seller's Discretionary Earnings (“SDE”) is a calculation of the total financial benefit that a single full time owner-operator would derive from a business on an annual basis. SDE is the pretax and pre-interest profits, before non-cash expenses, owner's benefits, one time investments, and any non-related income or expenses. SDE may require that expenses be adjusted if a new owner (Purchaser) will necessarily need to take on a new expense. SDE is also referred to as Adjusted Cash Flow, Total Owner's Benefit, Seller's Discretionary Cash Flow, or Recast Earnings.
 
** Our expectations are for a minimum 35% down payment on the final negotiated purchase price. Feel free to run some of your own calculations here:
https://www.bdc.ca/en/articles-tools/entrepreneur-toolkit/financial-tools/business-loan-calculator

Operations

The business operates in a 2,548 sq. ft. leased space, with lease terms until May 2028 and an option to renew for a 5-year term subsequently. The current monthly basic rental is at $4,100 (per month plus applicable HST).

Town water and sewer

Many upgrades and updates over the years. PRIME location

For more information on this listing, please complete our Non-Disclosure Agreement

Complete NDA For Full Overview

For more information on this listing, please complete our Non-Disclosure Agreement

Complete NDA for Full Overview
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