Music Store And Pawn Shop With Huge Potential

Listing ID: 700352831

Listing Title: Music Store And Pawn Shop With Huge Potential

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Industry: Retail

Industry Segment: Other Retail

Country: United States

State / Province: Texas



Asking Price Range: $500K - $1.0M

Gross Revenues: $1,000,000

Cash Flow: Seller Will Provide

Cash Flow Type: EBITDA

Year Established: 2020

Number of Employees: 6 - 9

Business Description:
Classified as an essential business, this music store and pawn shop has been in the same prime location for 30 years. It is highly visible from a major freeway on the north side of Houston with a very tall billboard. It has a long history of operating profitably. The Music Store portion sells new and used musical instruments and equipment, offers music lessons and performs repairs on equipment. The pawn business lends money against items pledged as collateral including jewelry, tools, electronics and musical instruments. The business also buys and sells used merchandise. Current store inventory is approximately $625,000 and the pawn book is approximately $90,000. This business was started by the seller approximately 30 years ago. The business was run very profitably for years. In 2014, the Bureau of Alcohol Tobacco and Firearms failed to renew the store's Federal Firearm License. Firearm sales had been a large portion of the business. The current seller sold the business in 2014 to an acquaintance who ultimately could not run the business successfully. In December of 2019, the seller exercised an option to repurchase the business. Since then sales have been improving and the business is getting back on track. With a Federal Firearm License (FFL), this store generated average annual sales of approximately $1.5M and pre-tax income of $120,000 (not adjusted for any owner's compensation). A new buyer who can qualify for an FFL and can manage the business, could get the business back to the previous level of sales and profitability. A comprehensive marketing strategy should enhance business. Internet searches for ''guitar lessons near me'' and ''guitar repair near me'' do not find the store online, therefore Search Engine Optimization (SEO) practices could improve traffic. An updated website with enhanced e-commerce functionality would improve online sales. 2 Story building that has been converted from a house to a retail facility.

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