Listing ID: 64355
This highly respected firm is a remanufacturer of engine parts for a variety of engine types and applications. The 60-year old business is for sale due only to the retirement of the owner.
The company operates from a splendidly equipped facility of approximately 23,000 square feet that has been specifically designed for efficiency. The books, records, and tax returns are well kept and clean. The employees are experienced, with many having long tenures with the company.
The business is strategically located in the MidSouth and has earned a sterling reputation for excellence in product quality and customer service.
This is truly a turnkey opportunity. Consider the advantages of investing in this
– The products have been tested and refined over a timeframe of 60 years and found excellent acceptance in the marketplace.
– A base of repeat customers is established and serves as an excellent platform for expansion.
– Valuable vendor supply relationships have been established.
– Trained employees are in place.
– The owner is committed to a seamless transition and will thoroughly train a new owner in all aspects of the business.
– And maybe most important of all, the new owner will experience significant positive cash flow from the first day of ownership.
The business is being marketed in a confidential manner. A confidentiality agreement is required to receive details of the opportunity. To inquire, please email William Bruce at Will@WilliamBruce.org.
We look forward to showing you this rare opportunity.
- Asking Price: N/A
- Cash Flow: $245,553
- Gross Revenue: $2,468,743
- EBITDA: N/A
- FF&E: $542,395
- Inventory: $1,002,875
- Inventory Included: Yes
- Established: N/A
The sale does include inventory valued at $1,002,875, which is included in the suggested price.
The property is leased by the business for $0.00
Why is the Current Owner Selling The Business?
There are all types of reasons why people choose to sell businesses. However, the true factor and the one they say to you might be 2 completely different things. As an example, they might claim "I have a lot of various commitments" or "I am retiring". For lots of sellers, these factors stand. However, for some, these may simply be justifications to attempt to hide the reality of transforming demographics, increased competition, current decrease in profits, or a range of other reasons. This is why it is very crucial that you not count entirely on a vendor's word, yet rather, use the seller's answer combined with your overall due diligence. This will repaint a more sensible picture of the business's existing circumstance.
Existing Debts and Future Obligations
If the current business is in debt, which many companies are, then you will have reason to consider this when valuating/preparing your deal. Numerous businesses borrow money with the purpose of covering items such as stock, payroll, accounts payable, etc. Keep in mind that in some cases this can mean that earnings margins are too small. Numerous organisations fall into a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future obligations to think about. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing agreements with suppliers that need to be met or might cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do businesses in the area draw in new consumers? Many times, operating businesses have repeat customers, which create the core of their everyday earnings. Specific variables such as new competition sprouting up around the location, road building, and personnel turn over can affect repeat consumers as well as adversely impact future revenues. One crucial thing to think about is the area of the business. Is it in an extremely trafficked shopping center, or is it hidden from the main road? Clearly, the more individuals that see the business regularly, the greater the opportunity to construct a returning customer base. A last idea is the general location demographics. Is the business situated in a largely populated city, or is it located on the outside border of town? Exactly how might the neighborhood median home income influence future earnings potential?