Business Overview

This auto stop is located in Garland Texas. Established 20 years ago, it has built a solid customer base and great reputation in the community. This shop does general mechanic work from oil changes and inspections to motor and transmission rebuilds.

With one employee to do the majority of the work, the owner does contribute to the daily labor in the shop. If he is turning a wrench he is usually doing an oil change or an inspection. The tasks this shop undertakes are not particularly specialized and anyone with a mechanical background should be able to pick it right up. But if you need a little more training than the 2 weeks included with the sale the seller is willing to stay for an extended period at a negotiated salary.

Financial

  • Asking Price: $280,000
  • Cash Flow: $120,000
  • Gross Revenue: $209,000
  • EBITDA: N/A
  • FF&E: $30,000
  • Inventory: $2,000
  • Inventory Included: Yes
  • Established: 2000

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:3,200
  • Lot Size:N/A
  • Total Number of Employees:1
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Inside one bay entrance you'll find 3 lifts and 4 work stations all on an end cap of an automotive strip center. History: The owner began his career as a mechanic and worked his way up to management in a local dealership. He has brought with him an appreciation for great record keeping and organization in the office and the shop.

Is Support & Training Included:

2 weeks Included

Purpose For Selling:

health

Pros and Cons:

Area is an established auto repair industrial area. Competition is stable. Shop is established as a shop that can help other shops in the area and they occasionally bring work to him.

Opportunities and Growth:

The owner sees a lot of opportunity in doing more engine rebuilds and restoration projects.

Additional Info

The business was established in 2000, making the business 22 years old.
The transaction will include inventory valued at $2,000, which is included in the suggested price.

The business has 1 employees and resides in a building with estimated square footage of 3,200 sq ft.
The property is leased by the business for $2,168 per Month

Why is the Current Owner Selling The Business?

There are all sorts of reasons people resolve to sell companies. Nevertheless, the genuine factor vs the one they say to you might be 2 absolutely different things. For instance, they may state "I have a lot of other responsibilities" or "I am retiring". For numerous sellers, these reasons stand. However, for some, these may just be reasons to try to hide the reality of changing demographics, increased competitors, current decrease in earnings, or a variety of various other reasons. This is why it is very vital that you not rely entirely on a seller's word, but instead, make use of the seller's answer along with your general due diligence. This will repaint a more reasonable image of the business's existing scenario.

Existing Debts and Future Obligations

If the current company is in debt, which numerous companies are, then you will have reason to consider this when valuating/preparing your deal. Many operating businesses finance loans so as to cover items such as supplies, payroll, accounts payable, etc. Bear in mind that in some cases this can imply that earnings margins are too tight. Many organisations fall under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may also be future obligations to think about. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with vendors that must be met or may lead to charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

Just how do businesses in the area bring in brand-new consumers? Most times, operating businesses have repeat clients, which create the core of their day-to-day revenues. Certain elements such as new competition sprouting up around the area, road building, and also employee turn over can affect repeat clients as well as negatively impact future incomes. One vital thing to consider is the location of the business. Is it in a very trafficked shopping center, or is it concealed from the main road? Clearly, the more people that see the business on a regular basis, the greater the opportunity to construct a returning customer base. A final thought is the basic location demographics. Is the business situated in a densely populated city, or is it situated on the edge of town? Just how might the neighborhood mean household earnings impact future earnings prospects?