Listing ID: 82782
Very profitable and well known collision and frame repair shop for sale. Current owner started the business in 2012 and it has grown tremendously. Located in a modern well-lit building that is also available to purchase. Long term employees and excellent cash flow make this an attractive opportunity to own. Current owner is looking to retire. Don’t miss this opportunity to own this profitable and growing business!
- Asking Price: $689,000
- Cash Flow: $270,778
- Gross Revenue: $1,620,931
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: Yes
- Established: 2012
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:9,400
- Lot Size:N/A
- Total Number of Employees:6
- Furniture, Fixtures and Equipment:N/A
Located in a great building that has been completely remodeled and has a well lighted fenced in yard to store vehicles that are waiting to be repaired.
Very few competitors in the area. This body shop draws from surrounding towns in about a 25 mile radius.
There is a tremendous demand for the services being offered. If a new owner wanted to add another employee, there are good growth opportunities.
The business was started in 2012, making the business 10 years old.
The company has 6 employees and is located in a building with approx. square footage of 9,400 sq ft.
Why is the Current Owner Selling The Business?
There are all kinds of reasons people choose to sell companies. Nonetheless, the real factor vs the one they tell you might be 2 entirely different things. For instance, they may say "I have a lot of other commitments" or "I am retiring". For many sellers, these reasons stand. But, for some, these might simply be excuses to try to conceal the reality of altering demographics, increased competition, recent reduction in profits, or a range of various other reasons. This is why it is very important that you not rely completely on a vendor's word, but rather, use the seller's response in conjunction with your general due diligence. This will repaint an extra realistic picture of the business's present situation.
Existing Debts and Future Obligations
If the existing company is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Many operating businesses borrow money in order to cover points like supplies, payroll, accounts payable, etc. Remember that in some cases this can suggest that earnings margins are too small. Numerous companies fall under a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may also be future obligations to take into consideration. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that should be met or might cause charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area bring in new clients? Many times, operating businesses have repeat clients, which create the core of their everyday revenues. Certain aspects such as new competition sprouting up around the area, roadway building and construction, as well as staff turn over can influence repeat customers and also negatively influence future incomes. One essential point to take into consideration is the area of the business. Is it in an extremely trafficked shopping center, or is it concealed from the main road? Obviously, the more people that see the business on a regular basis, the higher the possibility to develop a returning client base. A final idea is the basic area demographics. Is the business situated in a largely inhabited city, or is it located on the edge of town? Exactly how might the regional average house income effect future income potential?