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BUYING & SELLING IN THE UAE

Business premises: model rent and lease assumptions

A practical UAE business buying and selling guide to business premises, with clear calculations and 40 sector examples.

A clear answer

Rent is a cash commitment, and lease renewal assumptions should be explicit. A current low rent does not establish the cost that will apply after the acquisition.

Annual cash change = existing annual rent × assumed rent change.

For buyers

Use the actual premises agreement and an explicit renewal assumption. Include separately payable occupancy costs in the cash model.

For sellers

Prepare the lease, payment schedule and any relevant landlord correspondence. Clarify the proposed premises arrangements for the buyer.

Build the evidence

  1. Read the lease and renewal terms
  2. Identify additional occupancy costs
  3. Confirm transaction-specific landlord requirements

Choose your sector example

Each example below demonstrates this method for a different operating model. All amounts and rates are hypothetical teaching inputs, not actual listings, UAE market averages or sector benchmarks. The figures do not establish an expected investment return. Use the actual interest offered and the financial definitions supplied for that transaction.

Cafés · Restaurants · Bakeries · Cloud kitchens · Catering businesses · Hair and beauty salons · Barbershops · Spas · Laundries · Cleaning businesses · Pest-control businesses · HVAC maintenance businesses · Facilities management businesses · Car washes · Auto repair workshops · Car rental businesses · Logistics businesses · Courier businesses · Warehousing businesses · Freight forwarding businesses · E-commerce businesses · Fashion retailers · Convenience stores · Pet retail and grooming businesses · Furniture retailers · Dental and medical clinics · Physiotherapy practices · Gyms · Pilates studios · Training centres · Tutoring businesses · Nurseries · Software service businesses · IT support businesses · Marketing agencies · Accounting service practices · Printing businesses · Packaging manufacturers · Joinery workshops · Holiday-home management businesses

Cafés — Business premises

Operating driver: paid cups and food orders per day. The seller may work the morning shift without a market-rate salary.

Evidence to prepare: point-of-sale exports reconciled to card settlements.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 650,000
Entry costsAED 30,000
Initial operating working capitalAED 80,000
Base total initial capitalAED 760,000
Base annual buyer cash flowAED 210,000
Modelled annual revenueAED 1,650,000
Current annual rentAED 120,000
Rent increase assumption20%
Adjusted annual cash flowAED 186,000
Adjusted initial capitalAED 760,000
Adjusted annual cash yield24.5%
Simple payback at constant adjusted cash4.09 years

In this example the base annual cash yield is 27.6%. The adjusted result is 24.5%, using AED 186,000 of annual cash against AED 760,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Cafés acquisition guide · Explore businesses in this broader sector

Restaurants — Business premises

Operating driver: covers, average spend and delivery orders. Reported profit can exclude kitchen equipment renewal and staff accommodation.

Evidence to prepare: daily sales reports reconciled to delivery-platform remittances.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 707,500
Entry costsAED 31,750
Initial operating working capitalAED 84,500
Base total initial capitalAED 823,750
Base annual buyer cash flowAED 223,500
Modelled annual revenueAED 1,772,500
Current annual rentAED 124,500
Rent increase assumption20%
Adjusted annual cash flowAED 198,600
Adjusted initial capitalAED 823,750
Adjusted annual cash yield24.1%
Simple payback at constant adjusted cash4.15 years

In this example the base annual cash yield is 27.1%. The adjusted result is 24.1%, using AED 198,600 of annual cash against AED 823,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Restaurants acquisition guide · Explore businesses in this broader sector

Bakeries — Business premises

Operating driver: daily batches sold before spoilage. Wholesale credit customers and walk-in customers have different cash cycles.

Evidence to prepare: production sheets matched to till sales.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 765,000
Entry costsAED 33,500
Initial operating working capitalAED 89,000
Base total initial capitalAED 887,500
Base annual buyer cash flowAED 237,000
Modelled annual revenueAED 1,895,000
Current annual rentAED 129,000
Rent increase assumption20%
Adjusted annual cash flowAED 211,200
Adjusted initial capitalAED 887,500
Adjusted annual cash yield23.8%
Simple payback at constant adjusted cash4.20 years

In this example the base annual cash yield is 26.7%. The adjusted result is 23.8%, using AED 211,200 of annual cash against AED 887,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Bakeries acquisition guide · Explore businesses in this broader sector

Cloud kitchens — Business premises

Operating driver: fulfilled orders after refunds. A strong sales month can be driven by seller-funded promotions.

Evidence to prepare: platform-level order exports and settlement statements.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 822,500
Entry costsAED 35,250
Initial operating working capitalAED 93,500
Base total initial capitalAED 951,250
Base annual buyer cash flowAED 250,500
Modelled annual revenueAED 2,017,500
Current annual rentAED 133,500
Rent increase assumption20%
Adjusted annual cash flowAED 223,800
Adjusted initial capitalAED 951,250
Adjusted annual cash yield23.5%
Simple payback at constant adjusted cash4.25 years

In this example the base annual cash yield is 26.3%. The adjusted result is 23.5%, using AED 223,800 of annual cash against AED 951,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Cloud kitchens acquisition guide · Explore businesses in this broader sector

Catering businesses — Business premises

Operating driver: contracted meals and profitable events. Customer deposits can finance production while remaining an obligation to deliver.

Evidence to prepare: event invoices matched to deposits and delivery evidence.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 880,000
Entry costsAED 37,000
Initial operating working capitalAED 98,000
Base total initial capitalAED 1,015,000
Base annual buyer cash flowAED 264,000
Modelled annual revenueAED 2,140,000
Current annual rentAED 138,000
Rent increase assumption20%
Adjusted annual cash flowAED 236,400
Adjusted initial capitalAED 1,015,000
Adjusted annual cash yield23.3%
Simple payback at constant adjusted cash4.29 years

In this example the base annual cash yield is 26.0%. The adjusted result is 23.3%, using AED 236,400 of annual cash against AED 1,015,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Catering businesses acquisition guide · Explore businesses in this broader sector

Hair and beauty salons — Business premises

Operating driver: paid appointments per stylist hour. Prepaid packages are future service commitments, not entirely free cash.

Evidence to prepare: appointment bookings matched to payments.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 937,500
Entry costsAED 38,750
Initial operating working capitalAED 102,500
Base total initial capitalAED 1,078,750
Base annual buyer cash flowAED 277,500
Modelled annual revenueAED 2,262,500
Current annual rentAED 142,500
Rent increase assumption20%
Adjusted annual cash flowAED 249,000
Adjusted initial capitalAED 1,078,750
Adjusted annual cash yield23.1%
Simple payback at constant adjusted cash4.33 years

In this example the base annual cash yield is 25.7%. The adjusted result is 23.1%, using AED 249,000 of annual cash against AED 1,078,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Hair and beauty salons acquisition guide · Explore businesses in this broader sector

Barbershops — Business premises

Operating driver: paid cuts per available chair hour. Commission structures can make labour costs move differently from rent.

Evidence to prepare: booking and walk-in till records matched to bank receipts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 995,000
Entry costsAED 40,500
Initial operating working capitalAED 107,000
Base total initial capitalAED 1,142,500
Base annual buyer cash flowAED 291,000
Modelled annual revenueAED 2,385,000
Current annual rentAED 147,000
Rent increase assumption20%
Adjusted annual cash flowAED 261,600
Adjusted initial capitalAED 1,142,500
Adjusted annual cash yield22.9%
Simple payback at constant adjusted cash4.37 years

In this example the base annual cash yield is 25.5%. The adjusted result is 22.9%, using AED 261,600 of annual cash against AED 1,142,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Barbershops acquisition guide · Explore businesses in this broader sector

Spas — Business premises

Operating driver: completed treatments per room hour. Room capacity is irrelevant without therapists and paid bookings.

Evidence to prepare: treatment register matched to package redemptions.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,052,500
Entry costsAED 42,250
Initial operating working capitalAED 111,500
Base total initial capitalAED 1,206,250
Base annual buyer cash flowAED 304,500
Modelled annual revenueAED 2,507,500
Current annual rentAED 151,500
Rent increase assumption20%
Adjusted annual cash flowAED 274,200
Adjusted initial capitalAED 1,206,250
Adjusted annual cash yield22.7%
Simple payback at constant adjusted cash4.40 years

In this example the base annual cash yield is 25.2%. The adjusted result is 22.7%, using AED 274,200 of annual cash against AED 1,206,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Spas acquisition guide · Explore businesses in this broader sector

Laundries — Business premises

Operating driver: paid garments or kilograms processed. Water, electricity and machine downtime can materially change unit economics.

Evidence to prepare: ticket logs matched to collections and bank deposits.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,110,000
Entry costsAED 44,000
Initial operating working capitalAED 116,000
Base total initial capitalAED 1,270,000
Base annual buyer cash flowAED 318,000
Modelled annual revenueAED 2,630,000
Current annual rentAED 156,000
Rent increase assumption20%
Adjusted annual cash flowAED 286,800
Adjusted initial capitalAED 1,270,000
Adjusted annual cash yield22.6%
Simple payback at constant adjusted cash4.43 years

In this example the base annual cash yield is 25.0%. The adjusted result is 22.6%, using AED 286,800 of annual cash against AED 1,270,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Laundries acquisition guide · Explore businesses in this broader sector

Cleaning businesses — Business premises

Operating driver: billable cleaner hours after travel. Monthly contracts may include consumables that are missing from headline labour margins.

Evidence to prepare: job sheets matched to customer invoices and payroll.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,167,500
Entry costsAED 45,750
Initial operating working capitalAED 120,500
Base total initial capitalAED 1,333,750
Base annual buyer cash flowAED 331,500
Modelled annual revenueAED 2,752,500
Current annual rentAED 160,500
Rent increase assumption20%
Adjusted annual cash flowAED 299,400
Adjusted initial capitalAED 1,333,750
Adjusted annual cash yield22.4%
Simple payback at constant adjusted cash4.45 years

In this example the base annual cash yield is 24.9%. The adjusted result is 22.4%, using AED 299,400 of annual cash against AED 1,333,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Cleaning businesses acquisition guide · Explore businesses in this broader sector

Pest-control businesses — Business premises

Operating driver: completed recurring visits per technician. Retreatment obligations can add unpaid visits after revenue has been recognised.

Evidence to prepare: service reports matched to recurring invoices.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,225,000
Entry costsAED 47,500
Initial operating working capitalAED 125,000
Base total initial capitalAED 1,397,500
Base annual buyer cash flowAED 345,000
Modelled annual revenueAED 2,875,000
Current annual rentAED 165,000
Rent increase assumption20%
Adjusted annual cash flowAED 312,000
Adjusted initial capitalAED 1,397,500
Adjusted annual cash yield22.3%
Simple payback at constant adjusted cash4.48 years

In this example the base annual cash yield is 24.7%. The adjusted result is 22.3%, using AED 312,000 of annual cash against AED 1,397,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Pest-control businesses acquisition guide · Explore businesses in this broader sector

HVAC maintenance businesses — Business premises

Operating driver: profitable service visits and maintenance contracts. Emergency call-outs and parts replacement can erode apparent contract margins.

Evidence to prepare: work orders matched to labour and spare-parts invoices.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,282,500
Entry costsAED 49,250
Initial operating working capitalAED 129,500
Base total initial capitalAED 1,461,250
Base annual buyer cash flowAED 358,500
Modelled annual revenueAED 2,997,500
Current annual rentAED 169,500
Rent increase assumption20%
Adjusted annual cash flowAED 324,600
Adjusted initial capitalAED 1,461,250
Adjusted annual cash yield22.2%
Simple payback at constant adjusted cash4.50 years

In this example the base annual cash yield is 24.5%. The adjusted result is 22.2%, using AED 324,600 of annual cash against AED 1,461,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

HVAC maintenance businesses acquisition guide · Explore businesses in this broader sector

Facilities management businesses — Business premises

Operating driver: contract contribution after on-site staffing. Delayed certification or customer acceptance can delay collections.

Evidence to prepare: contract billing matched to site payroll and collections.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,340,000
Entry costsAED 51,000
Initial operating working capitalAED 134,000
Base total initial capitalAED 1,525,000
Base annual buyer cash flowAED 372,000
Modelled annual revenueAED 3,120,000
Current annual rentAED 174,000
Rent increase assumption20%
Adjusted annual cash flowAED 337,200
Adjusted initial capitalAED 1,525,000
Adjusted annual cash yield22.1%
Simple payback at constant adjusted cash4.52 years

In this example the base annual cash yield is 24.4%. The adjusted result is 22.1%, using AED 337,200 of annual cash against AED 1,525,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Facilities management businesses acquisition guide · Explore businesses in this broader sector

Car washes — Business premises

Operating driver: paid washes per bay hour. Utilities and bay downtime change the contribution of each wash.

Evidence to prepare: wash tickets matched to membership redemptions and receipts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,397,500
Entry costsAED 52,750
Initial operating working capitalAED 138,500
Base total initial capitalAED 1,588,750
Base annual buyer cash flowAED 385,500
Modelled annual revenueAED 3,242,500
Current annual rentAED 178,500
Rent increase assumption20%
Adjusted annual cash flowAED 349,800
Adjusted initial capitalAED 1,588,750
Adjusted annual cash yield22.0%
Simple payback at constant adjusted cash4.54 years

In this example the base annual cash yield is 24.3%. The adjusted result is 22.0%, using AED 349,800 of annual cash against AED 1,588,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Car washes acquisition guide · Explore businesses in this broader sector

Auto repair workshops — Business premises

Operating driver: billed labour hours and parts contribution. Open jobs and customer deposits require a clear completion allocation.

Evidence to prepare: job cards matched to parts purchases and customer payments.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,455,000
Entry costsAED 54,500
Initial operating working capitalAED 143,000
Base total initial capitalAED 1,652,500
Base annual buyer cash flowAED 399,000
Modelled annual revenueAED 3,365,000
Current annual rentAED 183,000
Rent increase assumption20%
Adjusted annual cash flowAED 362,400
Adjusted initial capitalAED 1,652,500
Adjusted annual cash yield21.9%
Simple payback at constant adjusted cash4.56 years

In this example the base annual cash yield is 24.1%. The adjusted result is 21.9%, using AED 362,400 of annual cash against AED 1,652,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Auto repair workshops acquisition guide · Explore businesses in this broader sector

Car rental businesses — Business premises

Operating driver: paid rental days per available vehicle. Fleet debt and refundable customer deposits must be separated from sale proceeds.

Evidence to prepare: rental contracts matched to fleet and bank receipts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,512,500
Entry costsAED 56,250
Initial operating working capitalAED 147,500
Base total initial capitalAED 1,716,250
Base annual buyer cash flowAED 412,500
Modelled annual revenueAED 3,487,500
Current annual rentAED 187,500
Rent increase assumption20%
Adjusted annual cash flowAED 375,000
Adjusted initial capitalAED 1,716,250
Adjusted annual cash yield21.8%
Simple payback at constant adjusted cash4.58 years

In this example the base annual cash yield is 24.0%. The adjusted result is 21.8%, using AED 375,000 of annual cash against AED 1,716,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Car rental businesses acquisition guide · Explore businesses in this broader sector

Logistics businesses — Business premises

Operating driver: contribution per completed shipment. Carrier payments may fall due before customer collections.

Evidence to prepare: shipment records matched to carrier costs and customer receipts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,570,000
Entry costsAED 58,000
Initial operating working capitalAED 152,000
Base total initial capitalAED 1,780,000
Base annual buyer cash flowAED 426,000
Modelled annual revenueAED 3,610,000
Current annual rentAED 192,000
Rent increase assumption20%
Adjusted annual cash flowAED 387,600
Adjusted initial capitalAED 1,780,000
Adjusted annual cash yield21.8%
Simple payback at constant adjusted cash4.59 years

In this example the base annual cash yield is 23.9%. The adjusted result is 21.8%, using AED 387,600 of annual cash against AED 1,780,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Logistics businesses acquisition guide · Explore businesses in this broader sector

Courier businesses — Business premises

Operating driver: successful paid deliveries per route. Cash-on-delivery balances are amounts owed to merchants, not distributable cash.

Evidence to prepare: delivery scans matched to billing and cash remittances.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,627,500
Entry costsAED 59,750
Initial operating working capitalAED 156,500
Base total initial capitalAED 1,843,750
Base annual buyer cash flowAED 439,500
Modelled annual revenueAED 3,732,500
Current annual rentAED 196,500
Rent increase assumption20%
Adjusted annual cash flowAED 400,200
Adjusted initial capitalAED 1,843,750
Adjusted annual cash yield21.7%
Simple payback at constant adjusted cash4.61 years

In this example the base annual cash yield is 23.8%. The adjusted result is 21.7%, using AED 400,200 of annual cash against AED 1,843,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Courier businesses acquisition guide · Explore businesses in this broader sector

Warehousing businesses — Business premises

Operating driver: billable storage and handling utilisation. Inventory in custody usually belongs to customers and needs clear reconciliation.

Evidence to prepare: warehouse movement records matched to customer invoices.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,685,000
Entry costsAED 61,500
Initial operating working capitalAED 161,000
Base total initial capitalAED 1,907,500
Base annual buyer cash flowAED 453,000
Modelled annual revenueAED 3,855,000
Current annual rentAED 201,000
Rent increase assumption20%
Adjusted annual cash flowAED 412,800
Adjusted initial capitalAED 1,907,500
Adjusted annual cash yield21.6%
Simple payback at constant adjusted cash4.62 years

In this example the base annual cash yield is 23.7%. The adjusted result is 21.6%, using AED 412,800 of annual cash against AED 1,907,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Warehousing businesses acquisition guide · Explore businesses in this broader sector

Freight forwarding businesses — Business premises

Operating driver: gross profit per completed consignment. Overseas agent balances can hide disputed or slow-moving receivables.

Evidence to prepare: files matched to agent invoices and customer collections.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,742,500
Entry costsAED 63,250
Initial operating working capitalAED 165,500
Base total initial capitalAED 1,971,250
Base annual buyer cash flowAED 466,500
Modelled annual revenueAED 3,977,500
Current annual rentAED 205,500
Rent increase assumption20%
Adjusted annual cash flowAED 425,400
Adjusted initial capitalAED 1,971,250
Adjusted annual cash yield21.6%
Simple payback at constant adjusted cash4.63 years

In this example the base annual cash yield is 23.7%. The adjusted result is 21.6%, using AED 425,400 of annual cash against AED 1,971,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Freight forwarding businesses acquisition guide · Explore businesses in this broader sector

E-commerce businesses — Business premises

Operating driver: contribution per delivered order after returns. Inventory counted at purchase price can include obsolete or slow-moving items.

Evidence to prepare: store orders reconciled to payment processors and fulfilment.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,800,000
Entry costsAED 65,000
Initial operating working capitalAED 170,000
Base total initial capitalAED 2,035,000
Base annual buyer cash flowAED 480,000
Modelled annual revenueAED 4,100,000
Current annual rentAED 210,000
Rent increase assumption20%
Adjusted annual cash flowAED 438,000
Adjusted initial capitalAED 2,035,000
Adjusted annual cash yield21.5%
Simple payback at constant adjusted cash4.65 years

In this example the base annual cash yield is 23.6%. The adjusted result is 21.5%, using AED 438,000 of annual cash against AED 2,035,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

E-commerce businesses acquisition guide · Explore businesses in this broader sector

Fashion retailers — Business premises

Operating driver: full-price sell-through and gross margin. Seasonal purchases can create a cash requirement before revenue arrives.

Evidence to prepare: SKU sales matched to purchases and stock counts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,857,500
Entry costsAED 66,750
Initial operating working capitalAED 174,500
Base total initial capitalAED 2,098,750
Base annual buyer cash flowAED 493,500
Modelled annual revenueAED 4,222,500
Current annual rentAED 214,500
Rent increase assumption20%
Adjusted annual cash flowAED 450,600
Adjusted initial capitalAED 2,098,750
Adjusted annual cash yield21.5%
Simple payback at constant adjusted cash4.66 years

In this example the base annual cash yield is 23.5%. The adjusted result is 21.5%, using AED 450,600 of annual cash against AED 2,098,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

Fashion retailers acquisition guide · Explore businesses in this broader sector

Convenience stores — Business premises

Operating driver: gross profit per basket and stock turn. Supplier rebates need evidence of eligibility and recurring collection.

Evidence to prepare: till totals matched to supplier invoices and stock counts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,915,000
Entry costsAED 68,500
Initial operating working capitalAED 179,000
Base total initial capitalAED 2,162,500
Base annual buyer cash flowAED 507,000
Modelled annual revenueAED 4,345,000
Current annual rentAED 219,000
Rent increase assumption20%
Adjusted annual cash flowAED 463,200
Adjusted initial capitalAED 2,162,500
Adjusted annual cash yield21.4%
Simple payback at constant adjusted cash4.67 years

In this example the base annual cash yield is 23.4%. The adjusted result is 21.4%, using AED 463,200 of annual cash against AED 2,162,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Pet retail and grooming businesses — Business premises

Operating driver: repeat product baskets and grooming bookings. Expiry-sensitive stock requires an age-based review.

Evidence to prepare: till and booking records matched to supplier purchases.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 1,972,500
Entry costsAED 70,250
Initial operating working capitalAED 183,500
Base total initial capitalAED 2,226,250
Base annual buyer cash flowAED 520,500
Modelled annual revenueAED 4,467,500
Current annual rentAED 223,500
Rent increase assumption20%
Adjusted annual cash flowAED 475,800
Adjusted initial capitalAED 2,226,250
Adjusted annual cash yield21.4%
Simple payback at constant adjusted cash4.68 years

In this example the base annual cash yield is 23.4%. The adjusted result is 21.4%, using AED 475,800 of annual cash against AED 2,226,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Furniture retailers — Business premises

Operating driver: delivered orders after fulfilment costs. Display stock can require a different valuation from boxed saleable stock.

Evidence to prepare: order book matched to supplier deposits and delivered sales.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,030,000
Entry costsAED 72,000
Initial operating working capitalAED 188,000
Base total initial capitalAED 2,290,000
Base annual buyer cash flowAED 534,000
Modelled annual revenueAED 4,590,000
Current annual rentAED 228,000
Rent increase assumption20%
Adjusted annual cash flowAED 488,400
Adjusted initial capitalAED 2,290,000
Adjusted annual cash yield21.3%
Simple payback at constant adjusted cash4.69 years

In this example the base annual cash yield is 23.3%. The adjusted result is 21.3%, using AED 488,400 of annual cash against AED 2,290,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Dental and medical clinics — Business premises

Operating driver: collected contribution per clinician session. Insurance receivables can be reduced by denials and delayed settlement.

Evidence to prepare: clinical billing matched to collections and payer deductions.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,087,500
Entry costsAED 73,750
Initial operating working capitalAED 192,500
Base total initial capitalAED 2,353,750
Base annual buyer cash flowAED 547,500
Modelled annual revenueAED 4,712,500
Current annual rentAED 232,500
Rent increase assumption20%
Adjusted annual cash flowAED 501,000
Adjusted initial capitalAED 2,353,750
Adjusted annual cash yield21.3%
Simple payback at constant adjusted cash4.70 years

In this example the base annual cash yield is 23.3%. The adjusted result is 21.3%, using AED 501,000 of annual cash against AED 2,353,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Physiotherapy practices — Business premises

Operating driver: attended paid sessions per therapist hour. Booked appointments overstate throughput if cancellation and no-show rates are high.

Evidence to prepare: appointment records matched to payer or patient collections.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,145,000
Entry costsAED 75,500
Initial operating working capitalAED 197,000
Base total initial capitalAED 2,417,500
Base annual buyer cash flowAED 561,000
Modelled annual revenueAED 4,835,000
Current annual rentAED 237,000
Rent increase assumption20%
Adjusted annual cash flowAED 513,600
Adjusted initial capitalAED 2,417,500
Adjusted annual cash yield21.2%
Simple payback at constant adjusted cash4.71 years

In this example the base annual cash yield is 23.2%. The adjusted result is 21.2%, using AED 513,600 of annual cash against AED 2,417,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Gyms — Business premises

Operating driver: retained paying members and attended sessions. Renewal cohorts reveal more than a headline member count.

Evidence to prepare: membership billing matched to cancellations and receipts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,202,500
Entry costsAED 77,250
Initial operating working capitalAED 201,500
Base total initial capitalAED 2,481,250
Base annual buyer cash flowAED 574,500
Modelled annual revenueAED 4,957,500
Current annual rentAED 241,500
Rent increase assumption20%
Adjusted annual cash flowAED 526,200
Adjusted initial capitalAED 2,481,250
Adjusted annual cash yield21.2%
Simple payback at constant adjusted cash4.72 years

In this example the base annual cash yield is 23.2%. The adjusted result is 21.2%, using AED 526,200 of annual cash against AED 2,481,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Pilates studios — Business premises

Operating driver: paid occupied places per class. Prepaid class credits represent future capacity commitments.

Evidence to prepare: class bookings matched to package redemptions.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,260,000
Entry costsAED 79,000
Initial operating working capitalAED 206,000
Base total initial capitalAED 2,545,000
Base annual buyer cash flowAED 588,000
Modelled annual revenueAED 5,080,000
Current annual rentAED 246,000
Rent increase assumption20%
Adjusted annual cash flowAED 538,800
Adjusted initial capitalAED 2,545,000
Adjusted annual cash yield21.2%
Simple payback at constant adjusted cash4.72 years

In this example the base annual cash yield is 23.1%. The adjusted result is 21.2%, using AED 538,800 of annual cash against AED 2,545,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Training centres — Business premises

Operating driver: paid cohorts and completion contribution. Refund commitments and undelivered courses reduce available cash.

Evidence to prepare: enrolment records matched to tuition receipts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,317,500
Entry costsAED 80,750
Initial operating working capitalAED 210,500
Base total initial capitalAED 2,608,750
Base annual buyer cash flowAED 601,500
Modelled annual revenueAED 5,202,500
Current annual rentAED 250,500
Rent increase assumption20%
Adjusted annual cash flowAED 551,400
Adjusted initial capitalAED 2,608,750
Adjusted annual cash yield21.1%
Simple payback at constant adjusted cash4.73 years

In this example the base annual cash yield is 23.1%. The adjusted result is 21.1%, using AED 551,400 of annual cash against AED 2,608,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Tutoring businesses — Business premises

Operating driver: collected tuition per taught hour. Founder teaching time should carry an explicit replacement cost.

Evidence to prepare: attendance records matched to fee collections.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,375,000
Entry costsAED 82,500
Initial operating working capitalAED 215,000
Base total initial capitalAED 2,672,500
Base annual buyer cash flowAED 615,000
Modelled annual revenueAED 5,325,000
Current annual rentAED 255,000
Rent increase assumption20%
Adjusted annual cash flowAED 564,000
Adjusted initial capitalAED 2,672,500
Adjusted annual cash yield21.1%
Simple payback at constant adjusted cash4.74 years

In this example the base annual cash yield is 23.0%. The adjusted result is 21.1%, using AED 564,000 of annual cash against AED 2,672,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Nurseries — Business premises

Operating driver: collected fees per occupied place. Term fees received early include obligations to provide future care.

Evidence to prepare: enrolment and attendance matched to fee receipts.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,432,500
Entry costsAED 84,250
Initial operating working capitalAED 219,500
Base total initial capitalAED 2,736,250
Base annual buyer cash flowAED 628,500
Modelled annual revenueAED 5,447,500
Current annual rentAED 259,500
Rent increase assumption20%
Adjusted annual cash flowAED 576,600
Adjusted initial capitalAED 2,736,250
Adjusted annual cash yield21.1%
Simple payback at constant adjusted cash4.75 years

In this example the base annual cash yield is 23.0%. The adjusted result is 21.1%, using AED 576,600 of annual cash against AED 2,736,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Software service businesses — Business premises

Operating driver: recurring customer contribution after delivery. Founder development time can conceal the cost of maintaining the product.

Evidence to prepare: billing records matched to contracts and hosting costs.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,490,000
Entry costsAED 86,000
Initial operating working capitalAED 224,000
Base total initial capitalAED 2,800,000
Base annual buyer cash flowAED 642,000
Modelled annual revenueAED 5,570,000
Current annual rentAED 264,000
Rent increase assumption20%
Adjusted annual cash flowAED 589,200
Adjusted initial capitalAED 2,800,000
Adjusted annual cash yield21.0%
Simple payback at constant adjusted cash4.75 years

In this example the base annual cash yield is 22.9%. The adjusted result is 21.0%, using AED 589,200 of annual cash against AED 2,800,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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IT support businesses — Business premises

Operating driver: contract margin per supported customer. Licence pass-through revenue may add little operating contribution.

Evidence to prepare: service tickets matched to contracts and payroll.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,547,500
Entry costsAED 87,750
Initial operating working capitalAED 228,500
Base total initial capitalAED 2,863,750
Base annual buyer cash flowAED 655,500
Modelled annual revenueAED 5,692,500
Current annual rentAED 268,500
Rent increase assumption20%
Adjusted annual cash flowAED 601,800
Adjusted initial capitalAED 2,863,750
Adjusted annual cash yield21.0%
Simple payback at constant adjusted cash4.76 years

In this example the base annual cash yield is 22.9%. The adjusted result is 21.0%, using AED 601,800 of annual cash against AED 2,863,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Marketing agencies — Business premises

Operating driver: retained fee contribution after delivery labour. Founder account management needs a realistic succession cost.

Evidence to prepare: retainer invoices matched to delivery payroll and collections.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,605,000
Entry costsAED 89,500
Initial operating working capitalAED 233,000
Base total initial capitalAED 2,927,500
Base annual buyer cash flowAED 669,000
Modelled annual revenueAED 5,815,000
Current annual rentAED 273,000
Rent increase assumption20%
Adjusted annual cash flowAED 614,400
Adjusted initial capitalAED 2,927,500
Adjusted annual cash yield21.0%
Simple payback at constant adjusted cash4.76 years

In this example the base annual cash yield is 22.9%. The adjusted result is 21.0%, using AED 614,400 of annual cash against AED 2,927,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Accounting service practices — Business premises

Operating driver: recurring fees after professional delivery time. Unbilled work in progress is not equivalent to collected cash.

Evidence to prepare: engagement letters matched to billed work and collections.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,662,500
Entry costsAED 91,250
Initial operating working capitalAED 237,500
Base total initial capitalAED 2,991,250
Base annual buyer cash flowAED 682,500
Modelled annual revenueAED 5,937,500
Current annual rentAED 277,500
Rent increase assumption20%
Adjusted annual cash flowAED 627,000
Adjusted initial capitalAED 2,991,250
Adjusted annual cash yield21.0%
Simple payback at constant adjusted cash4.77 years

In this example the base annual cash yield is 22.8%. The adjusted result is 21.0%, using AED 627,000 of annual cash against AED 2,991,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Printing businesses — Business premises

Operating driver: job contribution after materials and setup. Machine maintenance and receivable delays can consume headline profit.

Evidence to prepare: job costing matched to material usage and collections.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,720,000
Entry costsAED 93,000
Initial operating working capitalAED 242,000
Base total initial capitalAED 3,055,000
Base annual buyer cash flowAED 696,000
Modelled annual revenueAED 6,060,000
Current annual rentAED 282,000
Rent increase assumption20%
Adjusted annual cash flowAED 639,600
Adjusted initial capitalAED 3,055,000
Adjusted annual cash yield20.9%
Simple payback at constant adjusted cash4.78 years

In this example the base annual cash yield is 22.8%. The adjusted result is 20.9%, using AED 639,600 of annual cash against AED 3,055,000 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Packaging manufacturers — Business premises

Operating driver: saleable output after waste and changeovers. Raw material commitments can create cash exposure before orders are completed.

Evidence to prepare: production runs matched to inputs, dispatch and invoices.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,777,500
Entry costsAED 94,750
Initial operating working capitalAED 246,500
Base total initial capitalAED 3,118,750
Base annual buyer cash flowAED 709,500
Modelled annual revenueAED 6,182,500
Current annual rentAED 286,500
Rent increase assumption20%
Adjusted annual cash flowAED 652,200
Adjusted initial capitalAED 3,118,750
Adjusted annual cash yield20.9%
Simple payback at constant adjusted cash4.78 years

In this example the base annual cash yield is 22.7%. The adjusted result is 20.9%, using AED 652,200 of annual cash against AED 3,118,750 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Joinery workshops — Business premises

Operating driver: completed project contribution after rework. Retention amounts and uncertified variations may not be collectible at face value.

Evidence to prepare: project accounts matched to material purchases and certified billing.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,835,000
Entry costsAED 96,500
Initial operating working capitalAED 251,000
Base total initial capitalAED 3,182,500
Base annual buyer cash flowAED 723,000
Modelled annual revenueAED 6,305,000
Current annual rentAED 291,000
Rent increase assumption20%
Adjusted annual cash flowAED 664,800
Adjusted initial capitalAED 3,182,500
Adjusted annual cash yield20.9%
Simple payback at constant adjusted cash4.79 years

In this example the base annual cash yield is 22.7%. The adjusted result is 20.9%, using AED 664,800 of annual cash against AED 3,182,500 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Holiday-home management businesses — Business premises

Operating driver: management fee contribution per occupied unit. Cleaning, guest support and refunds can make gross booking volume misleading.

Evidence to prepare: owner statements matched to platform settlements and management fees.

Assumptions: asking price, entry costs and additional opening working capital are separate amounts. Base annual cash includes recurring costs, management, tax and maintenance unless the specific adjustment in this example states otherwise. For an actual business, reconcile that definition before calculating.

Input or resultIllustrative amount
Asking priceAED 2,892,500
Entry costsAED 98,250
Initial operating working capitalAED 255,500
Base total initial capitalAED 3,246,250
Base annual buyer cash flowAED 736,500
Modelled annual revenueAED 6,427,500
Current annual rentAED 295,500
Rent increase assumption20%
Adjusted annual cash flowAED 677,400
Adjusted initial capitalAED 3,246,250
Adjusted annual cash yield20.9%
Simple payback at constant adjusted cash4.79 years

In this example the base annual cash yield is 22.7%. The adjusted result is 20.9%, using AED 677,400 of annual cash against AED 3,246,250 of capital. The difference is a mechanical result of the specified inputs. It is not evidence of the cash this type of business usually earns, and it should not be substituted for a verified business forecast.

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Methodology: explicit scenario arithmetic and sector operating frameworks. ORDENNE is the publisher. Examples are educational and are not individual investment advice. Verify the financial evidence and transaction-specific requirements before committing.