When should sessions expire and how long should new owners honor them? - Page 2 - tanTALK

Steve Underhill · 05-17-2015, 12:13 PM

Quote:

Originally Posted by parrot head

We were due to close on the sale of the salon on May 1st. We chose to be fair and not sell any long-term packages during the month of April. Low and behold the buyer backed out on the sale, and we lost 3 to 4 thousand dollars, as we were just selling single tans, and no packages. We had requests for sales of our annual package, but declined just to be fair to the new buyers. How'd that work for us? Not bad, because we're keeping his $5000 earnest money.

You did the right thing. Now that you are still the owner I am sure you will do everything possible to make the salon as productive is possible. Sorry you lost an important time in the season.

Hot Tan · 05-19-2015, 07:50 PM

Quote:

Originally Posted by parrot head

We were due to close on the sale of the salon on May 1st. We chose to be fair and not sell any long-term packages during the month of April. Low and behold the buyer backed out on the sale, and we lost 3 to 4 thousand dollars, as we were just selling single tans, and no packages. We had requests for sales of our annual package, but declined just to be fair to the new buyers. How'd that work for us? Not bad, because we're keeping his $5000 earnest money.

The buyer blew a great deal, his loss, cold feet huh? let me know how your customers are now able to buy more sessions. how much were you asking for the biz, if it's no secret....

parrot head · 05-20-2015, 08:13 AM

I was including the business for a great deal if they purchased the real estate together. In the finalization of the price, we worked it so he was paying less for the building and more for the business. This way he had more of a depreciation write-off for the business, and I had less commission to pay on the building. The sale is back on, as he came to his senses and realized, he was getting one heck of a deal. His wife and daughter really wanted the tanning salon, and he is getting the best location in town, and with 15 spaces of parking to go with it. He bought the business for basically the value of the equipment. They will recoup that in 1 year. I did sell the 9 beds in the lower area to another salon, so I did make some extra on those. We close on May 29th.

Hot Tan · 05-20-2015, 09:36 AM

Quote:

Originally Posted by parrot head

I was including the business for a great deal if they purchased the real estate together. In the finalization of the price, we worked it so he was paying less for the building and more for the business. This way he had more of a depreciation write-off for the business, and I had less commission to pay on the building. The sale is back on, as he came to his senses and realized, he was getting one heck of a deal. His wife and daughter really wanted the tanning salon, and he is getting the best location in town, and with 15 spaces of parking to go with it. He bought the business for basically the value of the equipment. They will recoup that in 1 year. I did sell the 9 beds in the lower area to another salon, so I did make some extra on those. We close on May 29th.

This post is worthless without pictures....since it's your last hurrah.... post it man post it.

and do you think he can turn the business around?

parrot head · 05-20-2015, 10:49 AM

As for your picture request, I'll try, and As far as turning the business around, I doubt it. But, it is new blood and he is talking about putting in some new beds. He's looking at some new Soltron beds. and a Shark. He's got deep pockets, and has it to spend.

Hot Tan · 05-20-2015, 12:18 PM

http://photobucket.com/

sunsally · 05-22-2015, 04:26 AM

Quote:

Originally Posted by parrot head

As for your picture request, I'll try, and As far as turning the business around, I doubt it. But, it is new blood and he is talking about putting in some new beds. He's looking at some new Soltron beds. and a Shark. He's got deep pockets, and has it to spend.

Send him toward Robert K and myself - we can save him a great deal over new and he can still make the same impact - use the savings toward advertising, or other things!

That said - very happy for you - a nice way to retire with it in the hands of someone eager and excited - must feel good for you! :-)

parrot head · 05-22-2015, 08:21 AM

Yes, I will recommend that he contact you and Robert. I know Robert does deal in Soltron beds. Yes, it does feel good that the wife and I can really enjoy the summer at the Cabin and driving our new Corvette convertible to wine country in northern California this summer. Thank you all for all your help and advice, I'll still stay around the forum.

05-20-2015, 08:13 AM	#13 (permalink)
parrot head Team TanTalk Join Date: Jul 13 2004 Location: Menomonie, Wi. Age: 82 Posts: 3,145 Rep Power: 22	Re: When should sessions expire and how long should new owners honor them? I was including the business for a great deal if they purchased the real estate together. In the finalization of the price, we worked it so he was paying less for the building and more for the business. This way he had more of a depreciation write-off for the business, and I had less commission to pay on the building. The sale is back on, as he came to his senses and realized, he was getting one heck of a deal. His wife and daughter really wanted the tanning salon, and he is getting the best location in town, and with 15 spaces of parking to go with it. He bought the business for basically the value of the equipment. They will recoup that in 1 year. I did sell the 9 beds in the lower area to another salon, so I did make some extra on those. We close on May 29th. Last edited by parrot head; 05-20-2015 at 08:14 AM. Reason: add

05-20-2015, 10:49 AM	#15 (permalink)
parrot head Team TanTalk Join Date: Jul 13 2004 Location: Menomonie, Wi. Age: 82 Posts: 3,145 Rep Power: 22	Re: When should sessions expire and how long should new owners honor them? As for your picture request, I'll try, and As far as turning the business around, I doubt it. But, it is new blood and he is talking about putting in some new beds. He's looking at some new Soltron beds. and a Shark. He's got deep pockets, and has it to spend.

05-20-2015, 12:18 PM	#16 (permalink)
Hot Tan Join Date: Sep 16 2014 Location: Los Angeles, Ca. Posts: 261 Rep Power: 10	Re: When should sessions expire and how long should new owners honor them? http://photobucket.com/

05-22-2015, 08:21 AM	#18 (permalink)
parrot head Team TanTalk Join Date: Jul 13 2004 Location: Menomonie, Wi. Age: 82 Posts: 3,145 Rep Power: 22	Re: When should sessions expire and how long should new owners honor them? Yes, I will recommend that he contact you and Robert. I know Robert does deal in Soltron beds. Yes, it does feel good that the wife and I can really enjoy the summer at the Cabin and driving our new Corvette convertible to wine country in northern California this summer. Thank you all for all your help and advice, I'll still stay around the forum.

Similar Threads
Thread	Thread Starter	Forum	Replies	Last Post
Does Sunless Solution Expire?	tanchick3	Sunless	6	07-16-2011 09:14 AM
Grand Opening, how long is to long?	sockitome	New To The Tanning Business	4	01-26-2006 07:02 AM
Ray of Hope Fundraiser in Honor of Marianne	Sundesa	General Tanning Industry Discussions	1	08-16-2005 02:44 PM
Stolen Honor: Wounds that never Heal	bjhcpa	Say What ?????	5	11-03-2004 09:45 AM
Medal of Honor	njchica	Say What ?????	12	07-02-2002 07:11 PM

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)