Listing ID: 82255
The Company specializes in both insurance claim related and non-claim related repairs due to an accident. The Company provides quality auto body collision and paint repair services by a team of automotive specialists who are dedicated to complete client satisfaction.
The Company has approximately 17,500 sq. ft. of space in its body shops located in highly visible/high-traffic areas of the city. The Company differentiates itself by having multiple locations, lifetime warranty on repairs, working with all insurance companies and having I-Car certified technicians.
Over 26 yrs of operations
23 FT & 5 PT employees
LOCAL LABOR PRICING
Body Work $64/hr
Paint Supplies $44/h
Excellent Reputation – The Company has hundreds of reviews and excellent ratings across all of its social platforms. In addition to the highest quality of work performed, clients rave about free detailing on all repaired vehicles, constant communication, rental car program, shuttle service, and stress-free insurance claim process.
Highly Profitable – The Company has maintained extremely high profitability margins with average gross profit margins of nearly 50%, and average EBITDA margins over 30% over the historical period. • Business Development Strategy – The Company continues to utilize TV, radio, SEO, Yellow Pages, sponsorships, and social media platforms in a coordinated complete marketing strategy, to significantly grow its market exposure, and has started reaping the results of its efforts.
Outstanding Growth Opportunities – Given the Company’s reputation and expected demand growth, the Company can open new locations and add capacity in its current locations to increase its footprint and market share.
- Asking Price: N/A
- Cash Flow: N/A
- Gross Revenue: $5,200,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 1995
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:N/A
- Lot Size:N/A
- Total Number of Employees:23
- Furniture, Fixtures and Equipment:N/A
The company was started in 1995, making the business 27 years old.
Why is the Current Owner Selling The Business?
There are all types of reasons individuals decide to sell businesses. Nonetheless, the genuine reason vs the one they tell you may be 2 entirely different things. For instance, they might state "I have too many various responsibilities" or "I am retiring". For lots of sellers, these reasons are valid. However, for some, these might just be justifications to attempt to conceal the reality of changing demographics, increased competitors, current decrease in profits, or a variety of other factors. This is why it is very crucial that you not rely absolutely on a seller's word, but instead, utilize the vendor's response in conjunction with your total due diligence. This will paint a much more sensible picture of the business's current circumstance.
Existing Debts and Future Obligations
If the current company is in debt, which lots of businesses are, then you will have reason to consider this when valuating/preparing your deal. Numerous businesses take out loans in order to cover points such as stock, payroll, accounts payable, and so on. Bear in mind that in some cases this can indicate that earnings margins are too tight. Numerous organisations fall under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may additionally be future obligations to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with vendors that must be satisfied or might result in charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do companies in the location draw in brand-new customers? Many times, businesses have repeat customers, which develop the core of their everyday earnings. Specific elements such as new competition sprouting up around the location, roadway building, and employee turnover can influence repeat consumers as well as adversely influence future revenues. One crucial thing to take into consideration is the area of the business. Is it in a highly trafficked shopping mall, or is it concealed from the highway? Undoubtedly, the more people that see the business often, the better the opportunity to build a returning client base. A last thought is the general location demographics. Is the business placed in a largely inhabited city, or is it located on the edge of town? Exactly how might the neighborhood mean home income effect future earnings potential?