The owner of the place where I tan is wanting to sell... cheap. He says he's in financial trouble and wants to move back to Michigan immediately. He asked me tonight if I was interested in buying the place, but I don't know what to say. I asked for his books, to get an idea of what we're talking about, but his roundabout numbers were a gross of only $10,000 a month, and less in the slow months (summer). He only has one part-time employee, plus his partner and him (he's gay, not that it matters).
The building is leased ($800 a month), and the place has 2 beds and 2 stand-up booths, so it's not a big place at all. He says that in order to add beds, we would have to upgrade the electric to a phase 3 at a cost of a couple thousand bucks. The current electric bill is around $300 a month, he says. The place is really bland looking now, and could really use a woman's touch to make it look better. It's in a strip mall, in a highly residential area, so there's plenty of potential customers nearby. He doesn't advertise now, and you can barely even read his sign from the road (it's yellow lettering on a white background).
So, I figured I would ask on GFY, the place everyone comes for medical, relationship, and even business advice... Anyone have any experience with a tanning salon? Should I stay away, or pursue? I'm heading out to dinner now, but I'll come back in a bit and see what the GFY experts think. Thanks!
