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Franchise Resale Health, Fitness, Wellness, Lifestyle Membership Spa 1
NCListing DetailsOffice ID: SPA10
Status: Sold
Listing Broker: Jeff Snell, M&AMI, CBI, ABI
Listing Price: $220,000
Gross Revenue: $198,431
Cash Flow: $52,592
12 Month Forecast: $217,800
Forecasted Cash Flow: $70,000
Inventory: $2,000
Inventory Included: Yes
FF&E: $100,000
FF&E Included: Yes
Down Payment: $200,000
Sale Price: $200,000
Real Estate Included: No
Sales Structure: Asset Sale
Seller Financing: Yes
Financing/Terms:
Seller will participate in SBA required financing.
Reason for Sale:
Seller owns multiple businesses and is interested in focusing full time on other opportunities.
Training:
Buyer will be required to attend 5 day franchisee school and complete several online courses to become owner accredited.  SELLER will pay all transfer costs and costs of training.  Buyer responsible for travel, meals and lodging. Seller will also assist for 2 months in equipment maintenance.
OperationsYear Established: 2007
Form of Ownership: S Corp
Employees (full-time): 1
Employees (part-time): 3
Managers: 1
Business Hours: M-Th 10-9, F 11-7, S 11-4, Sun 12-4
Summary
Business Description:
This is not your average tanning salon.  This business offers a wide range of popular self service offerings including the newest red light therapy and full body hydration to maximize wellness so customers look and feel their best. This franchise location was opened in 2007 in one of the areas top shopping centers.  The franchise agreement renews in October 2014 and the buyer can elect to renew or become independent. Original upfit for this business was ~$422,000. Franchisor is requiring a re-image of this location which will require a ~$20,000 investment which SELLER will pay. Note that the financials presented are the actual historical financials for the specific franchise location being offered for sale and do not constitute an earnings claim from the franchisor.
Historical Summary:
Most clients pay monthly towards 12 month agreements.  Approximately 25% product sales and 25% non-member session sales.
Owner Qualifications:
Some of the benefits of franchising are access to a proven sales and marketing system supported by professionals experienced in the specific industry.  Additionally, this seller will provide hands on transition assistance and support for two months at no additional cost. This opportunity additionally eliminates the risks associated with starting a business from scratch with no brand recognition, clients, cash flow or experienced employees.
Competition:
The majority of competitors are single service oriented.
Potential Growth:
Buyer can leave the franchise October 2014.
LocationType of Location: Strip Center
Lease Expires: Mar 1, 2017
Option: 5 year
Lease Security: $5,000
Monthly Rent: $6,387
Square Footage: 1860
Facilities:

Located in an outdoor mall this location features high end interior finishes.  Location has adequate parking, signage and lighting.


Last Updated: Apr 14, 2016 / 4:44 PM
Financial Information Current as of: Aug 11, 2014 / 2:58 PM