How much would this business NET per year? -

I am curious I came across an online business with an asking price of $135,000US. Gross income figure is $874,196 cash flow figure is $162,138. It is based in Texas but is relocatable anywhere because it is 100% drop ship. My question is, if the cash flow figure is $162,138, and I relocate this business to B.C Canada, what would I expect to walk away with at the end of the year after taxes? closer to $100,000?

If your going to spend this much money I would say spend a bit more and have an accountant who specialises in this sort of thing look at it.I am going to assume that gross income is meant to be total sales in this case and not a gross profit figureYour gross income (ie all the money you get in in sales) less your variable costs (this would be all the things you have to pay for each sale - ie the cost to the dropshipper for buying and delivering the product.). This gives the gross profit figure. From this gross profit figure you need to subtract all the fixed costs (all the stuff you have to pay that you would have to pay regardless of how many sales you make eg staff, internet conection , phone.etc). [You need to see the breakdown of where the costs are allocated as sometimes people can classify some things as fixed costs when someone else might describe them as variable etc - ie ask for a full set of accounts and look at the detail]As you don t say what fixed costs are you can not say how profitable the business is - however fixed costs should be low for this type of business Your cash flow is the timing of when money enters or leaves your business - it does not tell you how much you get to keep.