Compare Listings

Description

OFF-MARKET’Q3 2021

Women’s Knitwear is Fashionably Profitable in DTLA

Los Angeles (Los Angeles County)

Seller Financing with agreeable terms and deal structure

Asking Price: $1,350,000.00

Cash Flow: $550,000

Gross Revenue: $2,600,000.00

EBITDA: N/A

FF&E: $42,000

Inventory: $200,000

Established: 1995

Employees: 5

Business Description

For more than 25 years, this distinguished and profitable company has been designing fashionable women’s knitwear that is manufactured overseas and sold to retailers and boutiques across the county.

Designers create nearly 300 pieces annually (sweaters, jackets, cardigans, dresses and shirts) which are produced by factories chosen by the Seller according to best negotiated prices for outstanding quality. Samples are provided for the biannual collections before the catalogues are produced, sent to showrooms, displayed at tradeshows or orders are placed.

Most Company goods have a landed cost in the range of $10 to $20.00 each. The selling price is generally three times cost.

The majority of new sales come from tradeshow and showroom orders. The Company attends several major fashion tradeshows – like WWD Magic, Coterie, MODA. It is not clear if these events will be held in light of COVID-19 restrictions, or if modifications may allow them to go on.

Samples are also at 6 -7 showrooms across the country at which retail buyers can review the printed catalogue and see, touch or try on pieces before ordering for the upcoming season with the help of onsite sales agents. The Company has an active database of 1,200 customers.

The purchase of an existing business bypasses the typical 1.5-year start-up time for new fashion lines and will provide cashflow that can be used to fund a Buyer’s new aspirations.

Inventory is not included in the sale, but can be sold to the Buyer at cost per actual accounting of product at closing. On average, inventory value fluctuates between $150,000 to $250,000. NDA is required {SUBMIT BELOW} for Confidential Information Memorandum (CIM) crafted by ProNova Partners.

Detailed Information

Facilities: The business is well-located in Los Angeles’s famous and busy Fashion District. The Seller owns the 13,500 square foot, 2-story building and will lease space to the Buyer at rates consistent in the neighborhood. The lower level offers glassfront retail space plus the warehouse; upstairs are offices.

Competition: Competition in the fashion and apparel industry is known to be fierce but the purchase of a successful fashion business is a launchpad that provides a Buyer a tremendous advantage to springboard wherever their industry desire leads. But keeping up with what shoppers want, being creative, innovative while maintaining your brand leads to success.

Growth & Expansion: Expand and concentrate efforts on building a social media audience. Expand the product line or add a specific summer line in keeping with the current style buyers have come to expect. Then weave in new lines and products that showcase a buyer’s unique vision.

Financing: If agreeable terms and deal structure can be reached.

Support & Training: The Seller will offer as much training as the Buyer needs to assure a smooth and successful transition for an initial and reasonable period of time. He will consider staying beyond the initial transition period if reasonable terms and compensation can be negotiated.

Reason for Selling: Happily looking to retire and travel.

Contact info

Pronova Partners

Inquire about this property

Similar Properties

$779,000$795,951Adjusted Net: $194425
powder biz for sale

General Service, Miscellaneous Businesses

Pronova Partners

$779,000$795,951

General Service, Miscellaneous Businesses

Pronova Partners

$700,000$1,600,242
Re-Piping Business

General Service, Miscellaneous Businesses

Pronova Partners

$700,000$1,600,242

General Service, Miscellaneous Businesses

Pronova Partners

Competitive Auction FormatAdjusted Net: $15000

Computer & Technology, Online Business for Sale

Pronova Partners

Competitive Auction Format

Computer & Technology, Online Business for Sale

Pronova Partners

$400,000$120,211Adjusted Net: $98944

Financial Services, Insurance Agencies

Pronova Partners

$400,000$120,211

Financial Services, Insurance Agencies

Pronova Partners


Cat Doctor Business

Previous Property

OFF MARKET SoCal Cat Focus Veterinary Practice for Sale

Next Property

OFF-MARKET-Become a CA Farmers Insurance Agency Owner