Listing ID: 77584
Our client started this business to answer the need for a store to properly sell the leading RV refrigerator brand parts and provide much needed support to the RV community. RVers are “do-it-yourselfers” and the support in showing them how to fix a refrigerator themselves in a quick and easy fashion is needed. The manufacturer does not sell direct, there was a need for information and parts, and the other competitors listing products were doing a poor job of it.
RV sales hit an all-time in 2020 and 2021. Those new units will soon be out of warranty and customers will be needing parts. The Seller tells us “There is going to be a large increase in sales and my options are to either expand or sell. I am also working on another business that I’d like to invest more time in”.
Our client is the leading seller of the of the leading brand of parts and the sales website is optimized for top organic search results. The business maintains zero inventory.
Our client out-performs other dealers and service centers in the industry because it business is focused entirely on one brand. The website has been built in a way that provides top SEO results without any marketing dollars being spent. The brand our client represents has approximately 50% market share in the RV industry, which speaks volumes for longevity and increased growth.
All orders provide customers with free technical support in helping them locate the issue. The business provides assistance through email, phone, and chat support.
The RV industry is very seasonal and by staying on top of new problems and replacement parts for older and newer RV refrigerators, the business is able to make sure its distributor has the proper parts in stock for immediate shipment throughout the year.
This strategy has been very successful. Our client is the top organic search result for anything and everything related to one of the top brands in the US. That’s due to years of strategically placed back links, the most detailed product descriptions out there, and the knowledge that went behind them.
The business has overcome the SEO struggle of being the top search engine result for the brand represented and the products they manufacture.
Our client owns all processes, and websites which they will transfer in full to a buyer.
Our client’s “ready to go,” profitable web site, tech, and relationships will enable a buyer to be up and running immediately.
NDA is required to secure comprehensive Confidential Information Memorandum (CIM) crafted by ProNova Partners.
- Asking Price: $2,000,000
- Cash Flow: $239,267
- Gross Revenue: $1,082,683
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2011
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:2
- Furniture, Fixtures and Equipment:N/A
As needed – specific terms for transition support can be negotiated. The Seller wishes to facilitate a successful and smooth transfer of the Business.
Other business interests.
The RV market has exploded with soaring sales being driven by Covid, among other things. Our Client’s Web site and structure will allow the buyer to tap into this market via the Web immediately.
This Business Is Home Based
The business was established in 2011, making the business 11 years old.
Why is the Current Owner Selling The Business?
There are all sorts of reasons individuals choose to sell operating businesses. However, the real reason vs the one they say to you may be 2 absolutely different things. For instance, they might claim "I have way too many various obligations" or "I am retiring". For many sellers, these factors stand. But, for some, these may simply be reasons to try to conceal the reality of changing demographics, increased competitors, recent decrease in profits, or a range of other reasons. This is why it is very crucial that you not rely completely on a vendor's word, however instead, use the vendor's solution combined with your general due diligence. This will paint a more realistic image of the business's current situation.
Existing Debts and Future Obligations
If the current entity is in debt, which many companies are, then you will need to consider this when valuating/preparing your offer. Lots of companies finance loans with the purpose of covering things like inventory, payroll, accounts payable, and so on. Bear in mind that sometimes this can imply that revenue margins are too thin. Many companies fall under a revolving door of taking loans as a way to pay back various other loans. In addition to debts, there may also be future obligations to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business might have existing agreements with suppliers that should be fulfilled or might cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Exactly how do operating businesses in the area bring in new customers? Often times, businesses have repeat customers, which create the core of their day-to-day earnings. Specific factors such as brand-new competitors sprouting up around the location, roadway building and construction, and also personnel turnover can influence repeat customers and negatively affect future earnings. One crucial thing to consider is the placement of the business. Is it in a very trafficked shopping mall, or is it concealed from the highway? Obviously, the more individuals that see the business often, the better the opportunity to develop a returning customer base. A final idea is the general area demographics. Is the business located in a largely populated city, or is it located on the outside border of town? Just how might the regional mean home earnings effect future revenue prospects?