Summary: 
Esthetician owned, 4 nurses on staff has expanded into 2 bays due to growing sales
Business Type: 
other service
Business Type: 
service
Location: 
Nebraska
Price: 
$226,000
Sales Revenue: 
$472,461
Cash Flow: 
$94,538
Realestate Included: 
No
Inventory: 
$19,800
Employees: 
17
Internal Listing:: 
BEA011
Reason for Sale: 
Growing Family

Description
This esthetician-owned medical spa with 4 nurses on staff has expanded into two bays due to growing sales. The business caters primarily to women and provides esthetic and salon services such as colors and cuts, massage, styling, waxing, facials, resurfacing treatments and more. There are 17 employees including 6 stylists, 5 estheticians, 4 registered nurses, one full time and one part-time receptionist. Adding to the bottom line are three booth renters who each pay $400/month. Services make up a majority of the income with approximately 13% of revenue generated by the sale of products.

This med spa is located in a high-traffic shopping center in Northwest of Omaha. The seller, who currently maintains a few esthetic clients and oversees financials and the employee schedule, is willing to train an incoming owner for a period of 3-4 months and provide 15% financing. With over $168,638 of assets included in the purchase price, this is an excellent investment for a stylist, esthetician or simply someone who would like to own a business in the highly-profitable beauty industry.

Business Information
Years in Business: 32 years
Location: Northwest Omaha
Lease: $3,200/month for two bays
Services Offered: Color and chemical services, haircuts, massage, laser hair removal, injectables (including Botox and Juvederm) styling, waxing, spa facials, resurfacing treatments, airbrush tanning, lash extensions, eyelash and brow tint, anti-aging eye and lip treatments, special occasion makeup
Reason for Selling: Growing Family
Employees: 17 (6 stylists, 5 estheticians, 4 registered nurses, 1 FT and 1 PT Receptionist) & 3 booth renters who pay $400/mo each
Hours: Mondays by appointment, Tuesdays 11-7, Wednesdays & Thursdays 9-8, Friday 9-7, Saturday 8:30-4
Seller Training Period: 3-4 Months
Growth Opportunities: Add opportunities for services including vein therapy, IPL photo facials and laser genesis facials
Current Owner’s Responsibilities: Owner maintains a few esthetic clients. She also oversees the financials and does the schedule

Financial Overview
List Price: $226,000
Gross Sales
2015: $530,892 (annualized)
2014: $472,461
Services: $361,930
Products: $62,738
Gift Certs: $5,266
Booth Rental: $8,215
Other: $34,312

Owner Profit/Cash Flow
2015: $106,230 (based on sales and profit margin)
2014: $94,538

Profit Margin: 20%

Valuation:
Cash Flow x Multiple = Fair Market Value
$94,538 x 2.4 = $226,891

Assets Included in Purchase: $168,638
Assets & Equipment: $148,838 in esthetic bed, electric facial bed, pregnancy massage table, hydraulic facial bed, microdermabrasion machine, manicure and pedicure tables and ($119,000 is for Cutera XEO Laser & two year Warranty)
Inventory: $19,800 in skincare backbar, product retail, color inventory and lash inventory

Funding Example
Purchase Price: $226,000
10% Buyer Down Payment: $22,600
15% Seller Financing: $33,900
75% Bank Loan: $169,500

In the above Funding Example with a 10% buyer down payment of $22,600, a new owner of this business would have a Net Operating Income (NOI) of $57,966 after all expenses and loan payments. This is a Return on Investment of 256% over the initial down payment!

Next Steps
For a detailed financial package, please contact Cortney Sells or one of The Firm Business Brokerage’s professionals at 402.998.5288 or email Confidential@TheFirmB2B.com.

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