Listing ID: 82887
Simple/Low Cost, High Volume 10-minute oil changes!
We use small Footprint Kiosks units in high traffic parking lots at strip malls or walk-in malls or adjoined with High Volume Businesses with lot space like McDonalds or Dunkin Donuts. This new approach to the Quick Lube industry is centered around reducing fix costs as well as using less people while increasing top line revenue by building smaller more efficient units in high traffic areas.
*Semi Absentee/Manage the manager, small staff needed, no need for Full-Basement and large holding tanks. Owner financing in place!
*Business Model divers Maximum Revenue, driven by two key metrics: High Vehicle Counts and minimized bay time. Average bay time is 8-10 minutes.
*Streamlined operation reduces overhead with only 2-3 employees per shift.
*Unique Employee incentive program focused on creating happy customers and repeat business.
*Competitive negotiated pricing on products for high gross margins
- Asking Price: $196,900
- Cash Flow: $136,500
- Gross Revenue: $335,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: N/A
Why is the Current Owner Selling The Business?
There are all kinds of reasons people decide to sell companies. However, the genuine factor and the one they tell you may be 2 absolutely different things. As an example, they might say "I have too many various commitments" or "I am retiring". For many sellers, these reasons are valid. But, for some, these might just be excuses to attempt to conceal the reality of altering demographics, increased competitors, current decrease in revenues, or an array of various other factors. This is why it is really important that you not rely absolutely on a seller's word, yet instead, make use of the seller's response together with your overall due diligence. This will repaint a more realistic image of the business's current situation.
Existing Debts and Future Obligations
If the existing entity is in debt, which many companies are, then you will certainly have reason to consider this when valuating/preparing your offer. Lots of companies take out loans so as to cover things like supplies, payroll, accounts payable, etc. Bear in mind that occasionally this can suggest that earnings margins are too tight. Many businesses come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may additionally be future obligations to take into consideration. There might be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with suppliers that must be satisfied or might lead to penalties if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the area attract new customers? Often times, businesses have repeat customers, which develop the core of their day-to-day earnings. Specific variables such as new competitors sprouting up around the area, roadway building, as well as personnel turn over can influence repeat clients and also negatively affect future incomes. One vital thing to consider is the location of the business. Is it in a highly trafficked shopping center, or is it concealed from the main road? Certainly, the more people that see the business on a regular basis, the greater the possibility to build a returning customer base. A last thought is the general area demographics. Is the business situated in a largely populated city, or is it located on the outskirts of town? Just how might the local median home earnings impact future revenue potential?