Business Overview

This heavy and medium duty truck sales and service business in Eastern Iowa offers a unique opportunity for the right buyer. The business is a Ford truck dealer franchise offering new truck models F250 through F750. Their used inventory includes of a variety of brands which rotates frequently. Beyond the sales and typical service of a dealership, this business also offers customers the ability to customize their trucks by installing bodies, hoists, snow plows, specialized hydraulics and much more. In addition, the business manufactures aluminum trailers that are designed and produced based off the customer’s specific needs. These trailers are sold at the business as well as through other equipment dealers.

Financial

  • Asking Price: $3,566,625
  • Cash Flow: $282,822
  • Gross Revenue: $11,293,008
  • EBITDA: N/A
  • FF&E: $354,855
  • Inventory: $896,627
  • Inventory Included: N/A
  • Established: 1977

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:Yes
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:30
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The business operates in over 46,000 square feet of space between shops, storage and manufacturing facility.

Is Support & Training Included:

As required.

Purpose For Selling:

Retirement

Pros and Cons:

This business has no local competition for their truck modification services. In addition, the business has built a strong reputation for these services throughout the United States. The business is also known nationwide for carrying legacy heavy truck parts.

Opportunities and Growth:

This business could see immediate growth with the addition of a dedicated salesperson who would market their new and used trucks along with their modification services and trailers to customers beyond their existing footprint. The aluminum trailer portion of the business could expand their dealer network nationwide and increase their marketing efforts to better establish their brand.

Additional Info

The company was started in 1977, making the business 45 years old.
The transaction doesn't include inventory valued at $896,627*, which ins't included in the suggested price.

The business has 30 employees and is situated in a building with estimated square footage of N/A sq ft.

Why is the Current Owner Selling The Business?

There are all types of reasons why individuals resolve to sell companies. However, the true reason and the one they tell you may be 2 entirely different things. For instance, they might claim "I have a lot of other obligations" or "I am retiring". For lots of sellers, these factors are valid. But, for some, these may simply be reasons to attempt to hide the reality of changing demographics, increased competitors, recent reduction in incomes, or a variety of various other reasons. This is why it is very essential that you not depend absolutely on a vendor's word, but instead, make use of the vendor's solution together with your overall due diligence. This will paint a more realistic 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 have reason to consider this when valuating/preparing your offer. Lots of operating businesses finance loans so as to cover things like supplies, payroll, accounts payable, so on and so forth. Remember that in some cases this can suggest that revenue margins are too thin. Numerous companies fall into a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future commitments to think about. There may be an outstanding lease on equipment or the building where the business resides. The business may have existing contracts with vendors that need to be fulfilled or might cause charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do companies in the location attract brand-new consumers? Most times, businesses have repeat consumers, which develop the core of their everyday profits. Certain aspects such as brand-new competition growing up around the location, road building and construction, and also employee turnover can impact repeat customers and also negatively impact future earnings. One important thing to consider is the placement of the business. Is it in a very trafficked shopping center, or is it concealed from the highway? Obviously, the more individuals that see the business often, the higher the chance to build a returning customer base. A last thought is the basic area demographics. Is the business located in a densely inhabited city, or is it situated on the outskirts of town? How might the neighborhood mean family earnings impact future income potential?