Sunday, May 20, 2012
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Upscale Massage Retreats-Two Great Locations
(Health/Fitness/Safety; Services, Other Personal Services)

San Antonio - Texas, Bexar

Seller Financing: Yes
Lender Pre-Qualified: No
Listing ID:
Office ID: SA062811DS
Status:

Listing Details

Listed Price: $356,000
Down Payment:
Total Sales: $788,632
SDE: $118,765
EBIT:
EBITDA:
FFE: $32,000 Included? Yes
Real Estate: Included?
Inventory: $5,000 Included? Yes
A/R: Included?
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Contact Information
Office:
Cell:
Fax:
Email:
Reason for Sale: New life/career opportunities as well as relocation for the partners requires the sale.
Training: Provided by corporate franchisor followed by support from sellers as negotiated
Financing Terms: Seller financing is available for a qualified buyer.

Operations

Year Established: 2006
Last Acquired:
Form of Ownership:
Home Based: No
Relocatable: No
Type of Location:
Absentee Owner:
Online:
Employees: Full Time: 32 / Part Time:
Managers:
Hours:
Owner Hours:
Non-Owner Payroll:
Franchise Info:

Location

Lease Expire:
Option:
Lease Terms:
Lease Security:
Monthly Rent:
Square Footage:
Facilities: Facilities in excellent condition. Additional upgrades required by the franchisor when completed will present the opportunity to significantly increase retail exposure and the member base. The cost for the new owner to change to the new model will be about $88,000.

Summary

Business Description: The franchise is the fastest growing therapeutic massage concept specializing in the membership model with over 70 locations operating across the country. It offers professional massage services by licensed and registered Therapists in a clean, upscale, spa-like environment. Several membership options, branded retail products and additional services generate multiple streams of income for both the Massage Therapist and the Franchisee. Unparalleled franchise education, training and support in this field makes this an incredible opportunity for the right individual(s).

Revenues can be predicted fairly consistently. A large percentage of members are paying monthly dues and thus there is a known and stable component to the revenue line each month. Additionally, you can look historically at seasonal trends and can use those in predicting current revenues, especially in relation to the impact of gift card sales around the holidays.

A new owner could be functional in the business very quickly. Prior to taking over the business a new owner would be required to attend a one week training course at the Corporate Headquarters. Any manager brought on board would also be able to attend this training. Additionally, there are significant resources provided by Corporate including a detailed operations manual, video training, audio recorded training, weekly training calls, checklists, scripts, etc.

Additional upgrades required by the franchisor when completed will present the opportunity to significantly increase retail exposure and the member base. The cost for the new owner to change to the new model in two locations will be about $88,000. The sellers have taken this cost into account when establishing the price ie, $263,000 to the sellers at closing and $93,000 for improvements and transfer fees. A new franchise location could cost about $330,000 and not have the advantages of trained employees, established client base and cash flow.
Historical Summary:
Owner Qualifications:
Competition: Normal for this industry.
Potential Growth: Desirable and fast growing industry. This franchise was ranked as one of the top 15 growth franchises in an industry publication for 2010. The labor pool continues to grow as massage therapy continues to gain recognition as a desired career. A recent Bloomberg Businessweek article listed this as one of the 10 most desired careers. Well positioned in a fast growing industry, this franchise is a turnkey operation. The franchisor has developed programs to support the individual locations to grow revenue and profits.
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