Business Overview

Opportunity to acquire a Buy Here Pay Here Auto Dealership in an amazing location, real estate is also available for sale!

Established for over 20 years.
This business has an excellent book of business, with very few defaults.

Currently, there is close $1,000,000 in accounts receivable.
Accounts Receivable is available for sale as well for an additional price of 80% of current accounts receivable balance at closing. The current receivables brought in an additional $190,000 in interest income last year.

The business is located with frontage off a main road with over 23,000 cars driving by per day. It is a 1-acre property, office, bay with lift, parking lots, and one additional suite/office that has been traditionally rented to other businesses. Real estate is not included in asking price. Asking Price for Real Estate is $1,500,000. Only one of two suites is currently being used, so a new owner could rent out the other suite to another tenant.

Current inventory is not included with asking price, and estimated to be $60-$70,000 at closing.

Business has stellar reviews online and has received Top Dealer Award from Car Gurus.

Call today for more information

Financial

  • Asking Price: $285,000
  • Cash Flow: $121,000
  • Gross Revenue: $1,400,000
  • EBITDA: N/A
  • FF&E: $30,000
  • Inventory: $150,000
  • Inventory Included: Yes
  • Established: N/A
Is Support & Training Included:

2 weeks

Purpose For Selling:

retiring

Additional Info

The sale shall include inventory valued at $150,000, which is included in the suggested price.

Why is the Current Owner Selling The Business?

There are all kinds of reasons why individuals resolve to sell operating businesses. Nevertheless, the genuine reason vs the one they tell you might be 2 entirely different things. For instance, they may state "I have too many other commitments" or "I am retiring". For many sellers, these factors are valid. But also, for some, these may just be reasons to try to hide the reality of changing demographics, increased competitors, current reduction in revenues, or an array of various other factors. This is why it is very essential that you not depend completely on a vendor's word, however rather, make use of the seller's solution together with your overall due diligence. This will paint an extra sensible picture of the business's existing circumstance.

Existing Debts and Future Obligations

If the existing business is in debt, which many businesses are, then you will need to consider this when valuating/preparing your offer. Numerous companies take out loans so as to cover points such as supplies, payroll, accounts payable, and so on. Remember that sometimes this can imply that profit margins are too thin. Numerous organisations fall under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may additionally be future obligations to consider. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with suppliers that must be fulfilled or might result in fines if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do businesses in the location draw in new clients? Many times, operating businesses have repeat customers, which form the core of their daily earnings. Certain factors such as brand-new competition sprouting up around the area, road building and construction, and also employee turnover can influence repeat clients and adversely impact future earnings. One important point to consider is the placement of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the main road? Clearly, the more individuals that see the business on a regular basis, the better the possibility to build a returning consumer base. A final thought is the basic location demographics. Is the business located in a largely populated city, or is it situated on the outside border of town? Exactly how might the neighborhood mean household income influence future earnings potential?