Hollywood Area Hair Salon On Major Throughway


Listing ID: 700330807

Listing Title: Hollywood Area Hair Salon On Major Throughway

Quick Link: http://www.globalbx.com/listing.asp?bId=330807

Industry: Hair and Beauty

Industry Segment: Beauty Salons and Barber Shops

Country: United States

State / Province: California

Area Southern California - Los Angeles Area

City: Los Angeles

Asking Price Range: $250K - $500K

Gross Revenues: $538,894

Cash Flow: $127,687

Cash Flow Type: Sellers Discretionary Cash

Year Established: 2002

Number of Employees: 6 - 9

Business Description:
This Hollywood area salon opened its doors nearly 20 years ago and always has been a place known for the exceptional service, talented stylists, warm and inviting atmosphere as well as exiting exhibitions. The salon is located in one of the trendiest streets in Los Angeles that continues to benefit from rapid ongoing development. The owner is willing to remain at the salon and rent 1-2 chairs. The salon has several full-time employees who are on a 50% split, a monthly renter and an independent contractor. The salon provides shampoo, hair color, towels and tunics for its clients. Asking price: $250,000 This light filled 1,500 square foot salon leases for $4,900 per month on a lease that expires in August 2021 with one three year option. Given the location's popularity as tourist destination and a major throughway for residents and commuters, this lease rate is deemed to be below market. The salon has 8 hair stations as well as 4 wash sinks, 2 drying seats, a spacious reception area, a coloring room and a manager's office. All of the business's furniture, fixture, equipment and goodwill will be included in the sale. Approximately $2,000 in inventory will be sold at cost at close. While competition certainly exits in this extraordinarily popular area this venue has developed what they feel is a remarkably loyal client base. In fact, some clients regularly return to the salon from other countries. Given the location's tremendous street exposure, convenient access and remarkable lease rate, as well as the seller's willingness to remain a team member, this salon has many attributes that competing venues will likely find difficult to match. New operators may take this opportunity in any number of directions. If they are hair technicians or other complementary service providers they may bolster revenues via the addition of their client base.

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