Business Overview

Opportunity to acquire a highly profitable comprehensive auto parts and auto service business that has been in place for over 50 years! Parts and service for nearly all makes and models of cars (imports and domestic) but also service for trucks, farm tractors and much more.
The business generates well over $1.7 million in sales, growing 15% in the past five years and can keep growing even more as it does very little advertising. Its name and top-notch (yet affordable) service speak for themselves.
Well-established book of business with generations of repeat customers; exceptional books and records so a buyer can buy with confidence.
Includes property (about 1-acre), multiple buildings (one at 12,600 square feet) including retail parts storefront, warehouse space, office space and 6 car bays (4 lifts) for service. Fenced support yard capable of housing 40+ cars.
Extensive list of equipment from forklift to machining lathe to refrigerant recovery machine. Also includes delivery truck.
Prices includes $700,000 in-store parts/product inventory at prices highly competitive with the national chains (O’Reilly, Advance, Auto Zone, and others). Located not too far from Augusta, GA.

Financial

  • Asking Price: $2,250,000
  • Cash Flow: $290,000
  • Gross Revenue: $1,722,195
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: $700,000
  • Inventory Included: N/A
  • Established: 1955

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:8
  • Furniture, Fixtures and Equipment:N/A
Is Support & Training Included:

3 weeks

Purpose For Selling:

retirement

Additional Info

The company was established in 1955, making the business 67 years old.
The transaction won't include inventory valued at $700,000*, which ins't included in the suggested price.

Why is the Current Owner Selling The Business?

There are all kinds of reasons people choose to sell operating businesses. Nevertheless, the genuine reason vs the one they say to you may be 2 absolutely different things. As an example, they may state "I have a lot of various responsibilities" or "I am retiring". For many sellers, these reasons are valid. But also, for some, these might just be reasons to try to conceal the reality of transforming demographics, increased competitors, recent decrease in revenues, or a range of various other factors. This is why it is very crucial that you not rely totally on a vendor's word, however rather, utilize the seller's solution combined with your general due diligence. This will paint a much more realistic picture of the business's present circumstance.

Existing Debts and Future Obligations

If the existing entity is in debt, which many businesses are, then you will certainly need to consider this when valuating/preparing your deal. Many operating businesses finance loans with the purpose of covering points like stock, payroll, accounts payable, etc. Keep in mind that occasionally this can suggest that revenue margins are too tight. Numerous businesses fall into a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may likewise 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 must be fulfilled or might cause charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the location bring in new customers? Many times, companies have repeat customers, which create the core of their everyday profits. Particular elements such as new competitors growing up around the location, road building and construction, and also personnel turnover can affect repeat clients and negatively affect future profits. One essential thing to take into consideration is the location of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Clearly, the more people that see the business regularly, the higher the possibility to construct a returning consumer base. A final idea is the basic area demographics. Is the business located in a largely populated city, or is it located on the edge of town? How might the regional average house income impact future income prospects?