HS Listing ID-73175
ASKING PRICE
$230,000
GROSS REVENUE
$500,000 to $600,000, seller reported
CASH FLOW
$120,000 to $150,000, seller reported
INVENTORY
Approximately $200,000 included in the asking price
BUSINESS DESCRIPTION
Opportunity to acquire an established discount retail and liquidation store located in a high traffic Houston shopping corridor.
The business sells discounted clothing and general merchandise sourced through liquidation channels, including merchandise originally sold by Costco, Target, Macy’s, and other major retailers. Recognizable brands include Nike, Adidas, Puma, Banana Republic, Calvin Klein, and more.
In addition to clothing, the store offers appliances, furniture, patio furniture, personal care products, perfumes, and other discounted merchandise. The business serves both retail and wholesale customers and has developed a strong base of repeat customers within the Houston market.
The approximately 6,000 square foot store is fully stocked. The sale also includes merchandise stored in six additional 10 by 20 storage units. The seller estimates the total inventory value at approximately $200,000.
This is an asset sale that includes the business assets, DBA, customer base, and inventory. The seller’s operating entity and liabilities are not included.
BUSINESS HIGHLIGHTS
• Approximately $200,000 in inventory included
• Reported annual sales between $500,000 and $600,000
• Reported annual net profit between $120,000 and $150,000
• Approximately 70 percent gross margins reported on many products
• Wholesale and retail revenue streams
• Recognizable national clothing brands
• Approximately 6,000 square feet of retail space
• Six additional storage units filled with merchandise
• Strong repeat customer base
• Open seven days per week
• Current owner is largely absentee
• Significant opportunity for an active owner operator
FACILITIES
The business operates from an approximately 6,000 square foot leased retail location in Houston. Monthly rent is approximately $9,750, including CAM and NNN charges.
Approximately two years remain on the current lease. Any lease assignment, extension, or renewal will be subject to landlord approval.
The business also uses six 10 by 20 storage units for additional inventory.
STAFFING
The business currently has two independent contractors who assist with daily operations, including receiving, sorting, and organizing merchandise.
An active owner operator may be able to reduce annual labor expenses by approximately $50,000 to $60,000 by managing daily operations directly.
GROWTH OPPORTUNITIES
A new owner could grow the business through:
• Increased social media and digital marketing
• Online and ecommerce sales
• Live selling through social media platforms
• Improved inventory tracking and merchandising
• Additional wholesale relationships
• Expansion into small discount and dollar store merchandise
• Greater owner involvement in daily operations
• Customer loyalty and referral programs
The current location has not yet completed a full holiday sales season, providing additional potential for continued customer growth.
REASON FOR SELLING
The owner is reallocating time and capital toward active construction projects. Great for an E-2 visa buyer.
SUPPORT AND TRAINING
The seller will provide reasonable transition assistance to help the buyer understand the business, merchandise sourcing, inventory, and daily operations. Specific terms will be negotiated as part of the purchase agreement.
FINANCING
Seller financing is not currently offered. Buyers should have sufficient cash or independently arranged financing.
IMPORTANT FINANCIAL DISCLOSURE
All financial information has been provided by the seller and has not been independently verified.
The business does not currently have completed tax returns, profit and loss statements, or balance sheets available for the operating period. Available documentation may include Square sales reports, bank statements, Zelle transactions, weekly deposits, and documented cash deposits.
A portion of sales is reportedly collected through cash and Zelle. Some cash receipts were used directly for payroll and operating expenses and may not be fully verifiable. Buyers must independently verify all revenue, expenses, inventory, and profitability during due diligence.
CONFIDENTIALITY
The business name and exact location will be disclosed only after the prospective buyer signs a confidentiality agreement and demonstrates the financial ability to complete the transaction. Employees, customers, suppliers, and the landlord should not be contacted directly.
A SIGNED CONFIDENTIALITY AGREEMENT IS REQUIRED FOR THE EXACT LOCATION
