Business Summary:
This business is "On Deposit" - CTS
A business like this doesn’t come along too often, especially at such an attractive price.The business is a weekly community newspaper featuring what went on at recent Town meetings, happenings at Town offices, and relevant news in the community, schools, and students. Recap of school sporting events, general articles of interest, seasonal topics, etc.The business makes its money from the classified & display ad space it sells and the inserts it puts in the paper from advertisers.They mail the paper and deliver the paper to over 8,000 homes and businesses free of charge. There are over 200 active advertisers and even more during the holidays and changes of seasons. The paper has been doing this for over 52 years in several towns in Fairfield County. Only 3 Owners during this time. Now the last Owner wants to retire.Asking Price:$154,900 (accounts receivable not included)Location:In Fairfield County Town around Danbury, CT.Real Estate: (office, store, or building)The 1,000 S.F, 4-room office is located on the second floor (inside room measurements) above a retail store centrally located to town offices and schools in one of the Towns it is currently reporting on. Note, the office can be located anywhere a new owner wants. Advertisers or readers seldom come to the office so demographics are not very important for operations.Lease: The lease has been month to month for a long time. A new Owner might be able to get a lease if qualified probably at the same rent and terms that the current Owner has. By the way, rent for this 1,000 s.f. 4 room office is only $600/month.Employees:The owner is working with 9 part-timers who work at the office, in the Town they cover, and at their homes. Labor expense (1099’s) average +/- $57,440/year (w/o Owner’s salary & perks.).Most of the employees have been here for over 7-8 years (1 over 50 years).Furniture, Fixtures, & Equipment (FF&E):Included in the asking price. Upon receipt of your signed Confidentiality Agreement, I will send you a list of the equipment included in the sale. (Value estimated at $6,000 to $15,000).Competition:There is no competition for the Hometown Paper that is Delivered weekly like this one. Growth & Expansion:Expanding to the internet. Doing the same they do now but expanding into surrounding towns. Franchising. Hours Of Operation:The current Owner works +/- 30 hours per week. Employees come into the office when they have to. Their time at the Town varies as to what is going on. Support & Training:The current owner will train the new Owner for 2 months for no charge and anytime afterwards at a fee to be agreed upon.Sales & Cash Flows:This year revenues are expected to be +/- $300,000 with Seller’s Discretionary Earnings (SDE) estimated at $58,767. New Owner revenues is being estimated at +/- $315,000 with SDE estimated at $62,436.Simple ROI & Payback with the Purchase Price of $154,900 is estimated at 40.3% for the new Owner (SDE Earnings).Recurring Revenue Streams?Yes. Many advertisers advertise every week. During the holidays, it’s very busy.Reason for Selling:RetirementFinancing: Depending on price and if qualified the Owner will consider financing with 50% down and the balance financed over 2-3 years at +/- 7% interest.Interested buyers MUST sign our Confidentiality Agreement and fill out the Questionnaire before any additional information is provided or a meeting is scheduled to view the business, or the location disclosed. Detailed financial information showing the ability to purchase and proof of funds may be required before a meeting or conference call is scheduled.
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