Honky Tonks

Business Details

Honky Tonks – High Profits and Instant Cash Returns 
Based on its ongoing profit and sales performance, Honky Tonks is a business that should be able to pay itself off within 12 months.
The seller has set a very reasonable asking price of $350,000 + SAV and not for any reason other than he doesn’t want another winter season in Canberra so he is moving to Sydney. 
There is a short lease concluding in 2021, but you may have the opportunity to forge a new relationship with the landlord before its conclusion. There is no demolition clause in the lease and the building is not heritage listed.
In setting an asking price of $350k, he has factored in the short lease nature. Even the fit-out and equipment, most of which are relocatable if you don’t get a lease extension, are worth more than $500,000.
The profit exceeds $400k per year with little effort, but it can’t be run from the Eastern suburbs of Sydney. 
You will need experience in running hospitality venues, but most of all, you will appreciate the great value when you see it. 
It has a large seating capacity of 200+ and coveted 7-day liquor licence that allows trading to 3am. 
The aspect of the outside service (65 covered & 12 uncovered) area is arguably the best in our nations capital.    
Contact exclusive business broker Frank Walmsley on sales@capitalcommercial.com.au by providing your full name and contact number, stating the fact that you are interested in owning Honky Tonks.

Financial Snapshot

Reporting Period 2018 Weekly Average 2017 Weekly Average Weekly Average
PEBITDA $357,570.00 $6,876.35 $606,317.00$11,659.94 $0.00 $0.00
Gross Profit $989,117.00 $19,021.48 $1,278,502.00$24,586.58 $0.00 $0.00
Sales $1,381,605.00 $26,569.33 $1,769,898.00$34,036.50 $0.00 $0.00
Rent $144,558.00 $2,779.96 $121,304.00$2,332.77 $0.00 $0.00
Wages and salary $262,135.00 $5,041.06 $342,593.00$6,588.33 $0.00 $0.00

Business Summary

Canberra, Australian Capital Territory
Bars/Night Clubs.
The premises are Leased.
• Lease commenced on: 1 June 2011
• Lease expires on: 31 May 2021
• Term of the lease: 5 + 5 = 10 years
• Option: Nil currently
• Bank guarantee: 3 month bank guarantee, allow an amount of $38,000 (incl GST)
• Base rent: $162,000 plus GST per annum
• Monthly rent payable: $11,583 plus GST
• Outgoings payable as tenant: $1,000 per annum 
• Annual increases: 4% increases annually – June 1st 
• Public liability insurance: $20 million
• SQM: Internal – 162 SQM; External – 82 SQM
Total employee wages for 2018 were $262,135. Total employee superannuation was $24,726 in FY 2018. The owner contributes 20 hours per week to the business.
Mon-Thu:3pm late Fri: 12pm late Sat: 2pm late
Under management

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Sales Summary

Sale Status : New Listing

Sale Method : Private Treaty with sav

Investment Amount : $350,000 + SAV

Stock at Value : $20,000.00

Finance Options :

Frank Walmsley

1300 793 690

0400 446 605