Listing ID: 81468
Business is still growing! Property includes 4 buildings. 2 buildings each serve as dealerships office and vehicle service shops and the 3rd building is the vehicle collision repair service. Buildings have been built between 2000 and 2012. Turn-key business sale including real estate. Business can be run by absentee owner.
Independent full service automobile dealership generating $11 million in annual sales.
The business serves a niche market on a busy highway serving a population of over 450,000.
Service department is highly dependable and a consistent revenue and profit center that helps flatten the sales cycle. Highly trained staff and technicians certified to work on imports and Tesla.
Service equipment and lifts are of the highest quality and buildings are impeccably maintained.
Excellent reputation for selling and servicing quality vehicles.
Staff will remain including sales manager responsible for vehicle acquisitions.
2 owner company, one pursuing other interests and the other would like to remain on after transition as service manager.
- Asking Price: $1,500,000
- Cash Flow: $450,000
- Gross Revenue: $15,000,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2000
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:32,000
- Lot Size:N/A
- Total Number of Employees:N/A
- Furniture, Fixtures and Equipment:N/A
32,000 sf of total building which includes sales area, office space, service, waiting and collision service space. Premium location on busy highway connecting the two major metro centers in the area. Real estate value approximately $2,100,000
Majority owner will train a new owner on systems. Minority owner would like to stay on and serve as service manager for a new owner.
2 owner company, one pursuing other interests and the other would like to remain
The best and most trusted used car dealer in the area filling a niche market unique to the area.
Ability to grow the collision service and increase overall sales and income.
The venture was established in 2000, making the business 22 years old.
Why is the Current Owner Selling The Business?
There are all kinds of reasons people resolve to sell businesses. However, the real reason and the one they say to you might be 2 totally different things. For instance, they may say "I have too many other obligations" or "I am retiring". For numerous sellers, these reasons are valid. However, for some, these may just be reasons to try to hide the reality of transforming demographics, increased competition, current decrease in incomes, or a variety of other reasons. This is why it is very crucial that you not count completely on a seller's word, but instead, use the vendor's answer in conjunction with your total due diligence. This will paint a much more sensible image of the business's existing situation.
Existing Debts and Future Obligations
If the current company is in debt, which many companies are, then you will have reason to consider this when valuating/preparing your offer. Lots of operating businesses borrow money with the purpose of covering items such as supplies, payroll, accounts payable, etc. Bear in mind that occasionally this can mean that profit margins are too tight. Many companies come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future obligations to think about. There may be an outstanding lease on tools or the structure where the business resides. The business may have existing contracts with vendors that have to be met or may lead to charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the area attract new clients? Many times, operating businesses have repeat clients, which create the core of their day-to-day earnings. Particular elements such as brand-new competition sprouting up around the location, road construction, as well as employee turn over can impact repeat customers and negatively impact future earnings. One important point to think about is the placement of the business. Is it in a highly trafficked shopping mall, or is it hidden from the highway? Certainly, the more people that see the business often, the better the opportunity to develop a returning customer base. A final idea is the general location demographics. Is the business placed in a densely inhabited city, or is it located on the outside border of town? Just how might the local mean family income effect future revenue prospects?