Tile Encounters Westlake Village

Westlake Village, CA
Asking Price:$50,000
Gross Revenue:$300,000
Rent:$2,607/Month
Established Year:2003
Cash Flow:$15,000
Inventory:$8,000
FF&E:$12,500
BUSINESS DESCRIPTION

Best tile store in this area

Tile Encounters was created about 25 years ago by two brother's. After 10 years they parted ways, each running their own Tile Encounters. One in Santa Barbara and the other in Ventura. The current Westlake Village store stems from the Ventura Tile Encounters. Actually prior to November 2023, we were in Ventura, on Main st in the Lasson's parking lot, across the street from Target, McDonald's, and Trek Bicycles. We are now in a 1500 Sq Ft shop within Westlake Village Industrial Park. It has a small office, bathroom, front showroom area, with ~1000 warehouse space. As of recently, we've been able to prove the amount you spend advertising on Facebook Marketplace (Meta Business Suite) directly correlates to amount of monthly sales. Our facebook ads have been focused on our Mexican Clay tile offerings. Saltillo and Lincoln clay tiles that give a 'Spanish' or 'Mexican' design/feel once installed indoor/outdoor at a home. We have inventory stored on racks, with samples of many of our sellable tiles, that customers can take to get a feel for what it will look like in their home. We have a robust website with our full catalog and a visualizer that customers can upload an image of the room they are tiling, then select different tiles and the visualizer will overlay the tiles they select onto the image and see what the room will look like with the tile installed. Year lease, December to December, $2607/mo. Internet is $80/month, and Edison ~$85/ month. The unit has AC, heating. The business uses Zoho for estimates, sales orders, purchase orders, customer accounts, and connects to a checking account and stores all business transactions, inventory, and allows for running reports on all data fields. We have an accountant that manages payroll, and taxes, she is ~$150/ month. We have about 15-20 established vendors we regularly purchase tile from. We buy at a wholesale price and sell at retail. Our margin is 200% so if we buy tile for $1, we sell it for $2. We offer contractors a 10% discount and for larger orders can give a bigger discount to compete on price with other tiles companies and Home Depot, sometimes.

It is currently run by the two owners Dean and Randy. One of us, once a week goes to pick up tile orders from our Vendors, most of which are in Los Angeles, and Anaheim, Orange County area. You don't have to run it that way, you can have them ship it to you but it will cost a fee and cut into your margin. We have a great relationship with Daltile, a lot of times they deliver for free. And our main clay tile vendor, Tecate, delivers for free, driving product up directly from Tecate Baja CA, MX. They have really cheap prices on their clay tiles (Saltillos), plus with the free delivery, we sell a lot of, and make good money on.
We have regular returning customers, get walk in customers from people searching for tile stores on google, and bring in the majority of customers from our Facebook Marketplace, and Meta Business ads. The store has an established email address, and phone number with a VOIP phones that are managed by a program that stores all phone numbers and allows you to call and text customers. The app can be installed on any cell phone so you can call/text from anywhere with internet.

Ready to sell now, must take over current lease through December. We can train, we can document all processes if necessary. Inventory and forklift are included with sale. Roughly $5000-8000 in inventory.


DETAILED INFORMATION
Location
Westlake Village, CA
Inventory
Not Included in asking price
Real Estate
Leased
Building SF
1,500
Lease Expiration
15/12/2024
Employees
2
Furnitures, Fixture & Equipment(FF&E)
Included in Asking Price
Facilities
There's a forklift to move pallets and crates of tile, absolutely necessary to have, tile is very heavy. Randy has a F350 which has a large payload, and Dean has a 05 Dodge Spinter 3500 Flatbed Dually which has room for up to 5 crates. Dean owns the flatebed but is open to selling the truck as well $15,000, its still under 200k miles, and is a diesel, that accepts bio diesel or regular. 5 large display racks, with over 10,000 samples on display. ~500 displays, and three 3 levels high 20 ft wide storage racks
Competition
There are very few tile stores in/around Westlake Village all the way down to Ventura. Customers still come in from Ventura. Most competitors only want to process large orders so we get a lot of orders from all the customers they dont want to deal with. We also have regular customers that only buy from us because we have great customer service.
Growth & Expansion
We work with tile installers to offer installation of the tile. They give us a price per square foot, we mark it up to get a % revenue from the installation. Offer discounts on tile if they purchase installation from us.
Support & Training
We can document all processes if necessary, and can stay around for as long as needed to train.
Reason for Selling
Randy's home burned down, needs to rebuild. Dean going back to engineering, need

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Dean Harter
Dean Harter