I have been presented with an off market opportunity to buy a stand-alone Video Gaming Terminal Operator. I do not have all of the detail yet, but I will be able to get all of my questions answered if I decide to get serious.

At a high level, the Net Terminal Income (NTI) was right around $240-260k the last two years, and the Net Income for the last couple years was just slightly north of $100k.

I believe Rent and Labor to be the two major costs, though I don't yet have cost detail. The seller also owns the strip mall in which the 'slot parlor' is located and as such, the rent terms will be part of the discussion as well. The facility does serve some alcohol, but not a full bar.

Major Question: Can someone point me to common multiples used in valuating this type of business?

Extra credit: Are there any experiences in adding additional revenue to a site such as this? Things they may not be doing already.