Should I take over this 3 year running tanning salon?

LoriLeah · 05-13-2004, 01:52 PM

Can anyone help me decide if I should take over this tanning salon? here is the information on it:
(9) 20 minute 100watt bulbs
(2) 12 minute hex's 46 bulbs each
(12) chairs (1 in each room)
(12) radios (1 in each room)
A/C
computer system, showcase, pop machine, vending machine. This is in a prime location up at a college town 45,000 students. the lease on the building is $1,700 a month for 5 years plus I have to pay taxes (about $4,200 a year)the buildig is 1,700 sq. feet.
the sellers are asking $30,000 for the equipment (the whole setup and I would take over the lease). sounds like a pretty good deal to me? what do you think???

knightfal · 05-13-2004, 03:13 PM

That definately soundsl like a good deal, just go over the books to make sure the the salon is stable and can survive. Also check the beds to make sure they are in good condition. Just do your homework, you dont want to buy someone elses problem.

Ezliving_Jim · 05-13-2004, 03:27 PM

That's worth considering. Do your homework. Write a business plan.

laurajmaxx · 05-13-2004, 08:34 PM

I would ck the elec. & ac. capacity & condition. In case you decide later on to change the mix of units up. Parking too.

crazy44 · 05-13-2004, 11:29 PM

Sounds like a great deal, I agree with the others. Check out everything and make sure all is in working order. Look at the tax returns or atleast the last couple months P&L's, also ask to see the slowest months totals.

LoriLeah · 05-14-2004, 11:18 AM

Thanks for the quick reply's!!! The electrical is all in good working order, If I upgrade to super beds they can run on a 40 0r 60 amp, and the salon is that ampage already. The bulbs were just replaced in march, and as far as the boos, and tax's go it seems to do pretty well in the down season.

engfant · 05-14-2004, 12:30 PM

If this is for real then get it. Live there for a year by yourself and you COULD break even in a year.

suntanztanning · 05-14-2004, 12:48 PM

Sounds like a good deal to me too! Take a look at the bank statements for income verification as well as the P&L for each month. You also need to compare the bank statements to the P&L for a match. If they don't match, you've got "Cooked Books"

Steve Underhill · 05-18-2004, 07:31 PM

What kind of beds, How old is the equipment?

Neon Beach · 05-18-2004, 08:12 PM

Give the books a really good once over. This includes accepted tax returns. Business plans are great when you have to apply for financing, but in the real world things never work out the way you boost them on paper.

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05-13-2004, 03:13 PM	#2 (permalink)
knightfal Join Date: May 11 2004 Posts: 17 Rep Power: 0	That definately soundsl like a good deal, just go over the books to make sure the the salon is stable and can survive. Also check the beds to make sure they are in good condition. Just do your homework, you dont want to buy someone elses problem.

05-13-2004, 03:27 PM	#3 (permalink)
Ezliving_Jim I love Derf!! Join Date: Mar 12 2002 Location: Virtual Reality Posts: 2,423 Rep Power: 10	That's worth considering. Do your homework. Write a business plan.

05-13-2004, 08:34 PM	#4 (permalink)
laurajmaxx Join Date: Jan 12 2004 Posts: 66 Rep Power: 0	I would ck the elec. & ac. capacity & condition. In case you decide later on to change the mix of units up. Parking too.

05-13-2004, 11:29 PM	#5 (permalink)
crazy44 Join Date: Aug 28 2003 Posts: 99 Rep Power: 0	Sounds like a great deal, I agree with the others. Check out everything and make sure all is in working order. Look at the tax returns or atleast the last couple months P&L's, also ask to see the slowest months totals.

05-14-2004, 12:30 PM	#7 (permalink)
engfant FREE ENGFANTUCATION Join Date: May 20 2003 Posts: 9,436 Rep Power: 13	If this is for real then get it. Live there for a year by yourself and you COULD break even in a year.

05-14-2004, 12:48 PM	#8 (permalink)
suntanztanning Join Date: Jun 8 2003 Posts: 302 Rep Power: 6	Sounds like a good deal to me too! Take a look at the bank statements for income verification as well as the P&L for each month. You also need to compare the bank statements to the P&L for a match. If they don't match, you've got "Cooked Books"

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