Asking Price: $50,000

Gross Revenue: $1,735,007

Cash Flow: $155,522

Inventory: $600,000 (Not Included in Asking Price)

BUSINESS: This full service gun shop (long guns, hand guns, accessories) has been in business since 1980 and in its current location since 1985. It sells new, used and consignment items. S-M is licensed to sell automatic weapons (none in inventory at present) and suppressors. It has done modest advertising until 2006 and has recently had good success with advertising on the Lars Larson radio show. There is plenty of storage room available and the shop is well set up for display of the weapons. Product pricing puts this store near the middle range and its wide product selection is seen as its major draw for customers. A Point Of Sale (POS) system makes inventory control easy. The records of all prior transactions would be available to the buyer of the business but must be kept by the seller in compliance with governmental regulations. Many customers are repeat buyers and sellers. This is the only full service gun shop in Lane County. Any buyer would have to obtain a Federal Firearms License. The owner is selling due to reaching retirement age.

As seen in the accompanying financial information on the shop the profits of the business have increased significantly over the last several years. The owner’s explanation for the increase is primarily better inventory purchasing practices by the store.

LOCATION/LEASE: S-M Gun Shop is located in Eugene at 1375 River Rd. in Eugene. It is a 2,000 square foot concrete brick building that has excellent security with window protection, exterior in-ground metal barriers and alarm system. The building is located on an 18,360 square foot lot that includes the main store building, a 12’ x 18’ concrete building for storage of ammunition and powder and 3 truck-trailer boxes as well. The back yard area is fenced with chain link. The owner is willing to lease the real property for a term and options to be negotiated with the buyer of the business. Expected rent would be $2,000 per month plus real property taxes and insurance. The landlord would be responsible for maintenance. The owner is also willing to sell the real property with an asking price of $300,000. It is listed on the tax rolls as having a “real market value” of $270,000 for 2007.