PDA

View Full Version : looking at existing MAT. Help?

billkozeal
12-07-2007, 03:38 PM
I'm looking at an existing Mat business in a small town of about 2500 population.
The Mat has 20 top load, 2 front load, 10 dryers, change machine, two pop mach, one snack, one soap and one bag machine. It's about 1600 sq ft. He is asking $40,000.


His Numbers:

Water & sewer & garbage = $225 mo
Gas = $400 mo
Electric = $275 mo
Lease = $300 mo

Washers take in = $2000 mo avg
Dryers = $1100 mo avg
Vending = $200 mo avg

He showed me actual bills for the utilities but showed me a handwritten ledger for income. I drive past this place everyday and never see more than 1 vehicle parked outside. (I don't see place in the evening or weekends)

Does this seem feasable?
CENTEX
12-07-2007, 09:26 PM
The numbers do work based on one third of my smaller mat. As always, check the tax return and get a long, long lease. I get mine in two year time segments with lots of two year extensions. If he/she is asking 40,000 that is a starting place. If the equipment is fairly new the price may be right. If the equipment is old, then it's too high. Good luck!
fishmanz
12-10-2007, 10:00 AM
Those gas, electric and lease numbers look mighty low to me. Ask if he is willing to hold a note for 1/2 the purchace price.
Anonymous
12-10-2007, 11:16 PM
How much could you really expect to make with a mat like that. And is it worth owning?
KJD
12-11-2007, 03:57 PM
How much could you really expect to make with a mat like that. And is it worth owning?


If the numbers are correct is shows about 25K net, not bad for a part time gig that wouldn't take more than about 7-10 hours a week to run.
Although I do not believe it shows all expenses. What about insurance, supplies, parts, etc. That could be another 5K.

And what I really want to know is WHERE can you lease 1600 s.f. for $ 300 per month.
billkozeal
12-11-2007, 09:26 PM
Thanks for the help, I'm a little skeptical about this. It looks too perfect. With your help I'm seriously rethinking the purchase.
Anonymous
12-15-2007, 01:19 AM
Thanks for the help, I'm a little skeptical about this. It looks too perfect. With your help I'm seriously rethinking the purchase.

Offer him less than the asking price. All he can do is say NO.