Hawaii – Cosmetology/Massage School

 Great Cashflow & SBA Prequalified

Hawaii – Cosmetology/Massage School  Great Cashflow & SBA Prequalified

EXECUTIVE SUMMARY

This business provides training to their students in the areas of Cosmetology, Hair Dressing, Esthetics, Nail Technology, Barbering, instructor Training, and Massage Therapy. The company holds an Accreditation through NACCAS an independent accrediting commission since 1969 and also Title IV Funding approved, VA Approved and approved for Exchange Visitor Program (SEVP). The combination of the facility, instruction and vendors set standards that are intended to put student on par with contemporary high-end salons and prepped for any State Board Exams. The school is proud to be licensed through the State of Hawaii as a clock-hour School. Students can choose the full cosmetology program or any course individually. The school accepts financial aid and VA funding for qualified military and their families. The company has a proven track record of successful graduates who are confident, qualified, and capable of entering the salon environment as professionals.

The business has been qualified by Diamond Financial Services for a qualified buyer to obtain an SBA 7(a) business acquisition loan including working capital; terms: down payment of $209,300 (15%), 10-year term, interest rate of Prime plus 2.75%, variable.

COMPANY

Listing ID: Cosmo

Location: Hawaii

Type of Entity:  S Corporation

Year Established: 2003

Industry or Business Category: Cosmetology and Massage School

 

 

FINANCIAL SUMMARY

     2021

Revenue: $1,157,000

SDE: $462,978

 

 

OFFERING SUMMARY

Asking Price:  $900,000

Inventory included in the Price:  $20,000

Tangible Assets (F,F&E):  $30,000

Non-Compete:  10 years in Hawaii

Training:  2 weeks; 40 hrs./wk.

Sale Reason:  Moving to Mainland & Retirement

 

 

LOCATION DETAILS

Status: Leased

Buyer to negotiate with landlord lease – current provisions:

  • 5/15/2012 5-year term, 2 x 5-year options

  • Base Rent $11,966

  • CAM $5,584

  • Water (range is $150-$200) a month

  • General Excise Tax “GET” $731mo

  • Total approximately $18,422 monthly

 

COMPETITION & Pros and Cons of Business

 

They are the only approved school of their kind on this Hawaii island, and it also takes about 3 years to start a school and become certified for financial aid.

 

 

INVESTMENT HIGHLIGHTS

 

  • Sellers Discretionary Earnings over $450,000 in 2021 & 9 years building the reputation

  • Only Accredited Cosmetology school on the island

  • Only Cosmetology school on Maui that offers tuition assistance for students

  • Financials are audited annually which represent the highest standard of accounting

  • Their last price increase was a few years ago and are due for a 5-10% price adjustment soon.

 

EXPANSION OPPORTUNITIES

  • Can open later hours or get more instructors to provide more services as the company has a 6-month waiting list for entry.

LICENSING REQUIREMENTS (if any)

  • All licenses are transferable, and no individual licenses required

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  • To receive a detailed Confidential Business Profile with tax return and audited financials please contact Hawaii Business Sales.