One of the first comments I hear from people when I tell them I am the business broker representing a CD & DVD sales and rental retail store is “Wow – I bet that’s a tough sell given that ITunes and downloaded music are dominating that industry.” The problem with this statement is that IT IS NOT TRUE.
Here are the facts according to the Recording Industry Association of America: while it is correct that downloaded music is growing rapidly it still represents only about 14% of all music sales. Furthermore, during the same time that music downloads have gained their small part of market share it is other non-record stores (like Big Box Retailers) who have lost market share. Record stores, as an industry, have had surprisingly stable revenue over the past 5-6 years.
The store I’m representing sells music CDs and sells and rents movie DVDs. It’s located in the picturesque town of Longview, WA – which is only a 50 minute drive from Portland and about a 2 hour drive from Seattle, providing a low-cost-of-living small town environment close to an abundance of recreational activities that is close enough to two major cities that it is no problem to have easy access to big city entertainment, events, restaurants, and shopping.
The business has a great track record of retaining well-trained staff for long periods of time. It also has excellent trade secrets and proprietary methods of operation. Included in the sale is a strong historical database of client purchases and buying habits that has been accumulated over 15 years. The store has the professional feel of a national retailer and is located in a mall that contains branded companies such as Bed, Bath, & Beyond, Starbucks, Michaels, Rite Aid, Ross, Ace Hardware, Quiznos, Applebee’s, etc. There is minimal direct local competition and the local paper’s readers have named the business “Best Music Store” for every year since the award was started (1994).
This business has $91k in Seller Discretionary Earnings, and is priced at $329k plus inventory. The seller is willing to carry a $65k note for a qualified buyer.
Following is a link to an initial information package and confidentiality agreement on the business broker’s website. Qualified buyers who complete, sign, and fax the confidentiality agreement to Eric Williams at 503-296-5830 will be provided with a 100+ page confidential package of information on the business.
Initial Information Package for Award-Winning CD & DVD Business
Codiligent Business Brokers – Portland, Oregon based business brokers representing sellers of businesses with $500k – $20 million in annual revenue. To schedule a free consultation to discuss the possible sale of your business you may contact Eric Williams at 503-535-8817 or E@codiligent.com
