If you are looking for a turnkey business opportunity that has a built-in customer base, then you may want to buy a convenience store. Depending on where you live and how much demand there is for convenience stores in your area, there are usually a few good convenience stores for sale. The question is, when you find a convenience store business for sale, how do you know if it is a good deal?
Doing your “due diligence” is important when considering any new business venture but in this current economic climate, many of the convenience stores for sale may be showing signs of distress. Whenever you see sparsely filled shelves, broken gas pumps, or other parts of the business in disrepair, it may indicate that they buyer is highly motivated to sell. However, it could also indicate that the store has not been profitable for awhile, or may be suffering from a bad reputation.
If the convenient store for sale is one that sells gasoline, you may be able to find out about the overall health of the business by speaking with some independent oil and gas distributors. Also, in every state there is an agency devoted to monitoring underground gas tanks, so they will be able to tell you if the business has any history of non-compliance or spills. A specialized property inspection will need to be done by someone with extensive experience in gas station properties. This report will tell you if there are any potential problems with the tanks, which could result in very costly repairs.
In addition, you will want to look closely at the traffic patterns near the store and find out if there are any proposed changes to the roads nearby that could affect the amount of traffic passing the store. Any change in traffic patterns can be disastrous to a convenience store and gas station.
There are many things to learn about before buying a convenience store for sale by owner, so it’s nice to know that there is a “Businesses for Sale” directory that specializes in this type of listing. Before you start looking for convenience stores for sale, an online FSBO directory should be your first stop.