Asking Price: $220,000 Gross Revenue: $379,000Cash Flow: $90,000 (Seller's Discretionary Earnings) EBITDA: Not DisclosedInventory: $5,000 included in asking priceFF&E: $15,000 included in asking priceShare this business:
Explanation of Financial Terms
The total asking price of the business for sale.
All income the business received before any cost-of-sales or expenses have been deducted.
Arrived at by "starting with your net (before tax) profit. Then, add back in any payments made to the owner, interest and any depreciation of assets." For example, if the net profit before taxes was $100,000 and the owner was paid $70,000 then the cash flow is $170,000.
Earnings Before Interest, Taxes, Depreciation and Amortization.
The value of the merchandise, raw materials, and finished and unfinished products which have not yet been sold. If there is no inventory price listed then the seller did not provide it.
Furniture, fixtures and equipment that will remain with the business, such as desks, office cubicles, decor elements of a restaurant or showroom, computers and office machines, pots and pans, dishes, display cases, manufacturing equipment, etc., depending on the type of business.
The value of property owned by the business. May be included in the asking price or offered separately. If no real estate value is listed, it was not provided by the seller.
The business performs preventative maintenance and some general automotive repair. Oil changes account for approximately 60% of the revenue. The balance of the revenue is general auto repair. The business was started about ten years ago by the current owner.
There are five employees. One full-time manager has been with the business for several years. There are four techs. The owner is not active in the business.
The cash flow presented includes an adjustment for the manager's salary. This means that the cash flow is presented as if it were an owner operator and the manager would not be needed. It's another way of saying that the owner would become the manager and take the manager's salary for himself.
The new owner would have the option of running the business as an owner operator or could keep the manager and run the business absentee. If run as an absentee business, the cash flow would be decreased by the manager's salary.
I sell auto repair shops in Texas. I sell auto repair only. I do not sell any other kinds of businesses.
This is a great shop and I want you to buy this one. But if it doesn’t work for you for some reason you still might want to give me a call or visit my website at www.rpmshopsales.com
About the Business
San Antonio, Texas
Number of Employees:
Building Sq. Ft.:
$3,000.00 Per Month
The business operates from 2,700 sf of leased space. The shop has two drive thru bays with pits and a full basement...1,350 sf up top and another 1,350 below grade. There is one outside lift.
The property leases for $3,000 per month. This amount is straight rent. It is not NNN. Landlord pays CAM, taxes, and insurance. Tenant is responsible for routine maintenance. The lease was recently renewed for five years. There are annual increase built in tied to CPI. The landlord is aware that the business is for sale and is open to transferring the lease or executing a new lease under similar terms. We do not have a landlord problem.
See Growth and Expansion Pros and Cons below. These seem to me like they are pretty much the same category. I don't know why Bizbuysell separates them out.
Growth & Expansion:
Virtually any auto repair shop can be improved upon by way of an improved and well implemented marketing effort. Shops that are for sale are usually being sold by retiring owners or absentee owners that have not put much of an effort into advertising. Selling or retiring owners have a strong tendency to rely on reputation and word of mouth. They almost never use direct marketing or social media. This business fits into that category. The core business and reputation is strong. But it could benefit from some new blood and fresh approach to marketing and advertising.
The business really doesn't need much training from the owner. There is a manager that runs the place and knows more about the business than the owner. The owner will assist though in whatever way he can to make sure the new owner gets off to a good start.
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the seller or a business broker representing the seller. BizQuest has no interest
or stake in the sale of this business and has not verified any of the information
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