Shops for sale

A physical shop depends on three things: its location, its lease and customers who come back. Start with the street. What draws people to the area, how are parking and footfall, and are there plans for construction, road works or new shopping centres that could shift the flow? Visit at different times of the week before you make an offer.

Then ask why customers shop here. Is it the range, the prices, the service or the owner? If the owner is behind the counter six days a week and knows the regulars by name, part of the revenue is tied to that person. It can be taken over, but it takes a transition period in which the seller introduces you.

Check seasonality too. Many shops earn much of their year in a few months, such as the run-up to Christmas, the tourist season or around public holidays. Ask for monthly revenue so you know how much working capital you need for the quiet months.

Smaller shops are usually priced on profit. Sitavo’s indicative range is 1.5–3 times annual profit (SDE: profit plus the owner’s own salary and one-off items), cross-checked against 0.1–0.4 times revenue. A strong location and a long, secure lease push the price up; little time left on the lease, falling sales and heavy reliance on the owner pull it down. Stock is usually bought separately on top of the price for the business. These are general market ranges, not a valuation — use Sitavo’s price estimate to see where a specific shop lands, and compare with market data for shops.

• Revenue and profit for the last two to three financial years, ideally month by month.
• Gross margin: what is left once the goods are paid for.
• Rent and fixed costs relative to revenue.
• Stock value and how quickly it turns over.
• Staff costs, including the hours the owner works unpaid.

• Annual accounts, VAT returns and daily till reports — and that they match.
• The lease: term, notice, rent, indexation, and whether it can be transferred to you (landlord’s consent).
• A stock list with purchase prices and the age of the goods.
• Supplier and dealer agreements: can they be transferred, and have suppliers approved a new owner?
• Franchise or chain agreement: approval of a new owner, fees, commitments and termination.
• Employees: contracts, length of service and any collective agreement.
• Leases on the till system, refrigeration and fixtures.

Sellers can place accounts and contracts in a data room behind an NDA, so you can review them before making an offer.

Most Danish shops change hands as an asset purchase: you buy the fixtures, stock, name and goodwill and take over the lease, while the seller’s company stays behind. In a share purchase, every contract and liability stays with the company. The lease is the critical point, so get the landlord’s written consent before the purchase agreement is final. Employees transfer on their existing terms under Danish rules on transfers of undertakings, and you take over their length of service. Stock is normally counted on the handover date and settled by an agreed method, such as purchase price less obsolete items. Till system, card terminal and any online shop usually have to be set up in your name. Buying from abroad, you will need a CVR number, Danish VAT registration and a Danish bank account; a local adviser for the lease and purchase agreement is worth the cost.

Shops are often bought with a mix of own funds, a bank loan and vendor financing, where the seller receives part of the price over time. A bank will usually want accounts, a budget and the lease. Messaging sellers and making offers on Sitavo is free. You agree price and terms in the deal workflow, which keeps the purchase agreement and handover in one place. The purchase price is paid directly from buyer to seller — Sitavo never holds the money. Read how payment works. If the shop also sells online, see ecommerce businesses for sale, and set up a search alert if the right shop is not listed yet.