susank

Hi,

We are looking at purchasing an existing tanning Salon and I am trying to figure out how much these tanning beds might be worth on the resale market and I am having a hard time find beds to compare them too, does anyone have any suggestions?

They are all in good condition; most of the bulbs have just been changed. They have the full maintenance history on all beds. All beds were purchased new from Tan America.

Here are the beds.

2004 Santa Barbara (25 or 30 min bed) I know I can upgrade it to a 20 minute bed for around $300-400 per bed per Tan America it sounds like I should but I am not sure if it is worth it.

2004 Del Ray

2004 Sun Up II (Stand up)

2004 Matrix l-33 (bulbs and acrylic was just replaced and they just upgraded the unit- something to do with the way the lights reflect??)

2006 Malibu

We would also like to add a versa spa but not sure what a cost would be resale. We would prefer one that has the voice prompt and dryer.. Any suggestion on what it might cost?

Thanks
Susan

engfant

Pricing out an existing salon based on the "resale" value of the equipment doesn't make sense. There value lies in how much they are generating minus cost to run. If you are looking for the value of a bed that you are buying for the house or from a closed salon then that's different.

FYI nothing is worth anything these days. Buy a car brand new and get a resale appraisal done 15minutes later and you'll be 10K broker almost immediately.

susank

Thanks for your quick reply, the reason I was asking is we are looking at getting a loan if we purchase the business and when talking with the bank they said they would need a value for the beds when we come in and talk to them. I am not sure what to put on any of the forms.

Thanks
Susan

Brian Oshman

All of that EQ is worth about 15K on the street. The bank wants to know because they want to be able to recoupe the loan from reposessing the EQ and selling it off.

engfant

I see. Hmmmm. Well then you can go by the "sell em off" value or the "what they are insured for" value or what they sell for new minus depreciation. I say screw the bank cause they are only looking for something that they can use as colateral WHEN YOU FAIL.

Do you plan on FAILING? If not I'd make sure those beds were the special edition beds with the solid gold guts.

kpower82

?? The Matrix alone is worth 15k

Brian Oshman

No it's not. Can't get more than 10K for one anymore.

susank

Are you talking about the Santa Barbara beds or the other beds? would it say special edition and I am guessing I should be able to see the gold on it?

I will have to go back and look again. We were going to go over and take some pictures so we have them to refer back to.

I know when I spoke to the Tan America rep she said we should upgrade the santa barbara beds to be 20 min. beds with some kit but if they are not the special edition beds then should I wait and slowly change those beds out instead? I forgot to mention they have 4 of the santa barbara beds and only one of each of the other beds so 8 beds total.

I hate filling out paperwork for the bank and some of the information especially on how much the beds are worth are hard to figure out but we need the loan to purchase the business. We don't plan of failing and we are trying to do as much research as we can before we make any offer of the place and we want to make sure if we do want it then we can get the loan for it so we have to jump through whatever hoops they want us too.

If I use 10k for the Matrix what should I use for the value for the other beds or do you have a suggestions on what websites that I should check for pricing?

I know on the Tan America website they had 2001 Santa Barbara's for around $4500 would this be a good amount for the 2004 too or do you think that is way overpriced?

Thanks again
Susan

Robert K

If the beds are all up and running in the salon they are worth about 25K to you. If you were to try and sell them they are only worth 16-18K.

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Robert Klem
Superior UV Technologies
(888) 526-7712 x77
robertk@superioruv.com

tanman0302

Here's the problem...I lost 3 potential buyers who couldn't get a loan from the bank. They all had credit scores over 750. Problem is banks don't like tanning salons!! Good luck Susan, but I don't see it happening!!!

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NO I DON'T HAVE THE SONNENBRAUNE WIRING DIAGRAM OR INFO....PLEASE STOP E-MAILING ME FOR IT!