Advice on Selling Franchise at a loss

[Anonymous]

Wife and I started a franchise business about 1.5 years ago. We are in it for about 260K. I have an offer for 190K. Should I sell it? Company told us we would be break evern by 180-200K. We made money one month thus far though losses are getting substantially less now. Last month was 400 bucks. Issue is we financed and I owe 1654 a month to the bank.

Just got a new job (I am a lawyer_ and making about 225K plus 25-50 in bonuses. Don't want to drain resources into it but don't want to take loss.

Saved substantial taxes so if you count that we are probably close to break even on the business.

Do advice

[Anonymous]

You say yourself you are break even. So take it.

[Anonymous]

You need to explore the tax ramifications a bit further.

Seems to me you are on a trajectory to profitability, so not sure why you'd sell unless you can't actively manage it.

Was this offer unsolicited?

[Anonymous]

If you really want out, and it sounds like you do, take the offer and don't look back.

[Anonymous]

what type of franchise??

[Anonymous]

Is it froyo? If so I would sell. This area is way over saturated with froyo and I can't imagine the value would go up.

[Anonymous]

Anonymous wrote:Is it froyo? If so I would sell. This area is way over saturated with froyo and I can't imagine the value would go up.

Agree. Froyo popping up in every shopping center.

[Anonymous]

It is a haircut franchisee. I got a new job. Problem is hair Cuttery is so dominant in this area. We have 3400 locations nationally but like a 12 locally. We are torn because we are close to profitability but still negative 40000 from investment.