Spa is located in Penthouse
of Upscale Hotel.
Sweetheart deal of 7% on
Rent includes water and
20% - 25% of clients are
Hotel guests coming directly from Hotel.
Extra space available for
improvements upwards of $15,000
The lease is reasonable at 7% of Gross Sales (long-term)
Lease includes hydro, power, water and parking.
Projected sales for 2006
(4) Sales for 2006 were $280,000.
Projected sales for 2007 are $300,000. How much work you do
yourself and how you pay your staff determines your net. As
you are probably aware, industry averages are very high.
Industry Averages Places Value at
Asking Price: $154,300 plus
Gross sales could easily
be $500,000 or higher. The owner has done that volume in the past but
has slowed down to keep life simple. Industry averages would boost the
net to $100,000 and the value up to $375,000 on the higher gross.