Landmark Lake Michigan Art Gallery (and more)

Contact: Mike Greengard
Your Reference ID: MG1102419

Description:

This cash flowing, value-priced business is truly one of a kind. Consider these attributes which reflect totally prohibitive barriers to entry:

  • The business is located in the most desirable community on the West Shore of Lake Michigan.
  • The business is housed in a wonderful 10,000 square foot historic structure which resides on a four acre parcel with beautiful grounds including two patios, a garden, a restored 1,000 square foot barn and on-site parking.
  • This seasonal business is closed during the winter months allowing the owner and his staff of six loyal and knowledgeable (in both art and wine) employees to go south during the 90 day annual down period of the business.
  • There are two distinct profit centers seamlessly integrated into a single business.
  • The fine art gallery boasts exclusive regional representation of 65 national and international highly regarded artists offering 1000 pieces of art throughout a number of galleries on both floors of the two floor building.
  • All the art is consigned eliminating the need to tie up hundreds of thousands of dollars in inventory.
  • Within the gallery itself, there is a unique and inviting in-house wine bar with a full liquor license. Over 400 hand selected wines from both the old world and new world are offered by the glass and/or by the bottle. Patrons can relax in the wine bar or take their glass of wine as they stroll and explore the wonderful art offerings throughout the facility. The wine bar can also be reserved for private events.
  • The wine bar offers an enticing selection of gourmet foods, artisan cheeses, chocolates and the like which may be sampled in the wine bar as well as purchased through the retail store (adjacent to the wine bar) in which unique gift items are also offered for sale.

This special business opportunity comes with:

  • $150,000 (cost basis) of fixed assets
  • Full liquor license with a market value of $50,000
  • $60,000 (cost basis) inventory of food, wine, and gift items
  • The full contingent of 1,000 consigned pieces of art
  • $150,000 of goodwill which includes in addition to the enterprise value of the gallery, a spectacular website, name recognition throughout the Midwest, a wealth of printed promotional literature, a favorable real estate lease, artists’ contracts and a massive mailing list, to name several specific attributes.

The seller wants to be able to spend summer weekends on Lake Michigan with his spouse so his plan could be your opportunity. The gallery generates annual revenues of $500,000 with a SDE (seller’s discretionary earnings – the normalized cash flow for an owner-operator to pay himself and service debt) of mid five figures. The business is being offered at the attractive price of $395,000, and for a qualified buyer, the seller will carry a meaningful seller note.

The seller envisions an asset sale in which he retains cash and A/R while retiring all liabilities. Interested parties may have a tour of this must see galley after submitting a NDA and providing an indication of adequate financial strength. To learn more about this unique business opportunity, please contact Mike Greengard (mgreengard@praxisbusinessbrokers.com or 616-450-0707).

Location(s): West Michigan - Lakeshore

Asking Price: $395,000
Cash Flow: $55,000
Gross: $500,000
Inventory: $60,000

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