Listing ID: 72522
This auto repair shop, specializing in exhaust, has been servicing a loyal customer base for over twenty-two years.
All the years this shop has been in business have produced great relationships with customers, manufacturers and suppliers. You will be stepping into ownership of a beloved, trusted, experienced muffler shop.
Known for stellar customer service and great reviews.
This owner purchased garage in 2000 and moved it from Tigard, to it’s location now in Sherwood.
There is NO major competitors with in a 10 mile radius.
A large auto garage and office
- Asking Price: $860,000
- Cash Flow: $50,000
- Gross Revenue: $338,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: $44,000
- Inventory Included: N/A
- Established: 1999
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:4,000
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
The company was founded in 1999, making the business 23 years old.
The transaction won't include inventory valued at $44,000*, which ins't included in the listing price.
The property is leased by the business for $4,800 per Month
Why is the Current Owner Selling The Business?
There are all kinds of reasons people decide to sell businesses. Nevertheless, the real factor vs the one they say to you might be 2 entirely different things. For instance, they may claim "I have way too many other obligations" or "I am retiring". For lots of sellers, these factors are valid. However, for some, these might just be excuses to try to hide the reality of changing demographics, increased competitors, current decrease in earnings, or an array of various other factors. This is why it is extremely important that you not rely entirely on a vendor's word, however rather, make use of the seller's answer together with your general due diligence. This will paint a more reasonable image of the business's existing situation.
Existing Debts and Future Obligations
If the existing company is in debt, which lots of companies are, then you will certainly need to consider this when valuating/preparing your deal. Lots of operating businesses borrow money in order to cover items such as inventory, payroll, accounts payable, and so on. Bear in mind that occasionally this can indicate that earnings margins are too thin. Many organisations come under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may additionally be future commitments to consider. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that need to be met or might cause fines if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do companies in the area draw in new customers? Many times, operating businesses have repeat consumers, which form the core of their everyday revenues. Specific factors such as new competitors growing up around the area, roadway construction, and also staff turn over can influence repeat customers as well as negatively affect future incomes. One crucial point to take into consideration is the area of the business. Is it in a highly trafficked shopping center, or is it concealed from the highway? Obviously, the more individuals that see the business regularly, the greater the opportunity to build a returning consumer base. A final idea is the basic area demographics. Is the business located in a largely inhabited city, or is it located on the outskirts of town? How might the neighborhood mean house income impact future earnings potential?