Business Overview

RV Sales & Service Business located an hour and a half South of the Twin Cities Metro. This Company was established over 50 years ago. Products include new and used RV’s, campers, and camper trailers. The industry has seen a fantastic revival with the popularity of RV’s and Campers expected to continue to surge. Great opportunity to acquire a growing Business at a perfect time. The Company has several exclusive product lines with a large territory. Customers travel from a four-state region for some of their lines. The Real Estate is included in the asking price.

Financial

  • Asking Price: $1,199,000
  • Cash Flow: $395,000
  • Gross Revenue: $4,706,000
  • EBITDA: N/A
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 1971

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:Yes
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:8
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The Sellers own the Land and Buildings and is also for sale. The is a total of 12.27 acres. The property is zoned for residential development, commercial and industrial. A residential subdivision has already been platted and approved. There are four buildings on the property. One building contains the business offices and a residential Dwelling which is currently rented by the shop manager for $800 per month. The other three buildings are used for storage and service. The Real Estate appraised at $685,000 back in 2002.

Is Support & Training Included:

Seller will fully train new owner.

Purpose For Selling:

Retirement

Pros and Cons:

The Company has exclusive territories for several of their product lines.

Opportunities and Growth:

Additional lines and a rental fleet could be added

Additional Info

The company was established in 1971, making the business 51 years old.

The business has 8 employees and is located in a building with approx. square footage of N/A sq ft.

Why is the Current Owner Selling The Business?

There are all types of reasons why people choose to sell operating businesses. Nonetheless, the genuine factor and the one they tell you may be 2 entirely different things. As an example, they may state "I have way too many various responsibilities" or "I am retiring". For numerous sellers, these reasons are valid. But also, for some, these may simply be reasons to try to conceal the reality of transforming demographics, increased competition, recent reduction in earnings, or a variety of other factors. This is why it is extremely crucial that you not count absolutely on a vendor's word, but rather, use the seller's response in conjunction with your general due diligence. This will repaint a much more reasonable image of the business's current circumstance.

Existing Debts and Future Obligations

If the current company is in debt, which numerous businesses are, then you will have reason to consider this when valuating/preparing your offer. Many companies finance loans in order to cover things like inventory, payroll, accounts payable, and so on. Remember that sometimes this can imply that revenue margins are too small. Lots of companies fall 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 take into consideration. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with vendors that should be fulfilled or might cause penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do operating businesses in the area bring in new consumers? Many times, operating businesses have repeat clients, which form the core of their daily profits. Specific variables such as new competition sprouting up around the location, roadway building, as well as personnel turnover can affect repeat consumers and negatively impact future profits. One crucial point to take into consideration is the area of the business. Is it in a highly trafficked shopping mall, or is it hidden from the main road? Obviously, the more individuals that see the business often, the greater the opportunity to construct a returning customer base. A final thought is the general location demographics. Is the business situated in a densely inhabited city, or is it situated on the edge of town? How might the neighborhood median family earnings impact future income prospects?