Used Car Dealership with Workshop
Location : Buckinghamshire
Asking Price : OIRO £200,000 plus SAV
Turnover : £4,956,101
Net Profit : Undeclared
Gross Profit : £637,663
EBITDA : £97,064
Net Asset : Undeclared
Premises : Leasehold
Confidentially offered for sale
Turnover for last financial year circa £4,956,101 p.a.
Gross profits circa £637,663 p.a.
Adjusted EBITDA pre-directors’ drawings circa £97,064 p.a.
Attractive sales office
Large well-maintained forecourt
Established & loyal client base
Impressive repeat business levels
All tools and equipment
Training and handover
This business was established just over 10 years ago. During this time, it has forged a sterling reputation, both regionally and nationally, as a trusted and knowledgeable business within the well-known and hugely popular market that it specialises in. The business has grown to become a trusted dealer within the locality and beyond with a reputation for the quality of its cars, competitive prices and excellent after sales care.
The business operates from a high-profile leasehold location with superb facilities and highly visible forecourt frontage, being situated on a main road. The site location is a real asset of this business. Many current customers have been loyal to the business since the beginning and this has been due in no small part to the business’s specialist nature, competitive prices, quality products, service and attention to detail.
The business provides the following on all used cars sold:
Full Service (if due within the next 4,000 miles) based on a 12,500-mile service interval.
Full Safety Check incorporating Lights and Levels top up and road test.
A new MOT (if less than 4 months remaining)
HPI check and certificate issue.
Professional valet inside and out.
Full set of mats.
Valuation of your current car.
Part exchange facility available.
Finance, warranty, GAP, Life-shine and wheel protection are all available.
In addition to their physical site the business has an expansive and excellent internet presence with its own professionally managed and interactive website, they can be found organically by an extensive list of motor related search words or phrases on page one of Google as well as having a huge presence on Auto Trader, Car Gurus, Motors.co.uk, AA cars, RAC cars, e-bay motors, Friday Ads, Facebook Garage, Twitter, Instagram, etc, etc. so that customers can browse their current used car stock virtually anywhere on the internet.
A vital component to this business’s success to date has been customer service, which is focused to a great extent both before and after the sale, as this is the place where the reputation of the business can be made or lost, it is also a rare member of the Trading Standards Buy with Confidence Scheme. The endearing company ethos means that this dealership enjoys good levels of referrals and long-term recurring business.
The site itself can accommodate just under 100 cars on the forecourt at any one time, with an offsite storage facility for 20-30 more, this ensures that there is always a good choice of vehicles for customers to view.
There is good access and the forecourt is viewer friendly. The vendor has continued to invest in the business over the years to the extent that it has a fully equipped workshop facility enableing it to carry out an extensive level of motor trade functions including air-conditioning servicing and re-charging, welding, tracking, engine, clutch and gearbox replacement, state of the art diagnostic equipment comprising Snap on and Launch, as well as general servicing.
The dealership has a very efficient air-conditioning system enabling a cool environment for customers and staff alike in the summer, this converts to a heating system for likewise maximum comfort during the winter, this is very conducive to good customer and staff relations.
All workshop and office equipment is included within the sale price. For example: Ramps, specialist diagnostic equipment and manufacturer software, Welding, tracking and all other associated garage equipment. Laptops, printers, desks, chairs and all other essential items necessary to run a motor dealership. This is not an exhaustive list as there are too many items to mention.
Car stock is entirely optional, the typical used car holding is circa £600,000 or you can simply re-locate with your own stock and the business owner will dispose of his accordingly.
The business considers that happy people return, on that simple basis it has maintained levels of product and service quality intended to best guarantee that all of their customers are truly content.
The company enjoys excellent customer retention levels in terms of servicing and repair, it also benefits from repeat business from customers when they are ready to upgrade to their next car.
• High Profile Location
• Asset base and profitability
• Market Presence
• Customer Base
• Infrastructure (fully equipped workshop and offices)
• Levels of customer service
• Business in a box, ready from Day One
This is an outstanding opportunity to build on the existing business levels and customer base of this company which has a stand out and impeccable reputation. With a strong demand for this business’s vehicles, combined with a capacity to increase the range of car and possibly commercial vehicles and services on offer thereby creating an increase in turnover, a new owner contributing fresh ideas and enthusiasm could certainly take this business further forward.
The business is being offered for sale on a going concern basis, this can be converted at a later date, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.
The business has enjoyed consistent performance to date and its specialist reputation is growing year on year. The owners have put all the foundations in place for future success. No further investment in the premises would be required for a new owner to continue trading for a considerable amount of time.
Turnover for last financial year circa £4,956,000 p.a.
Gross profits circa £638,000p.a.
Adjusted EBITDA pre-directors’ drawings circa £97,000 p.a.
Stock circa £600,000
With a new injection of energy, the business could certainly increase revenues further as the market place that the company specialises in is as popular as ever.
The asking price of Offers In The Region of £200,000 is for 100% of the issued share capital and excludes current car stock (optional) and is on a cash free debt free basis.
The business advertises through Auto Trader, e-bay motors as well as many other renowned and well-known car sales sites as mentioned previously. It also has its own informative website which advertises all currently available car stock with photos, specifications, prices, etc.
The dealership has enjoyed consistent levels of business over the last few years. There are many areas for expansion not least, better utilisation of the workshop facilities that the business has at its disposal. The workshops are generally used for servicing and maintaining the current stock with a percentage of revenue being generated through customer repairs, servicing and warranty work.
There is absolutely no reason why a new owner could not develop this side of the business further expanding it to offer tyre fitting, smart repairs, alloy wheel refurbishment, car valeting, etc, etc. to both existing and new clients in the trade and retail market.
The business operates from high-profile leasehold premises circa half an acre. The forecourt is large and can accommodate just under 100 cars at any one time. There are also offices a showroom and a fully equipped workshop with two ramps. There is a children’s play and customer waiting area with a Barista quality coffee machine. Rent is currently £60,000 p.a. plus VAT, rates are circa £20,000 p.a.
Monday – Friday: 09:00 – 18:00
Saturday: 09:00 – 18:00
Sunday: 10:00 – 16:00
There are two directors in the business, one of whom works in the business through choice, since the rest of the staff ensure that the business manages itself reliably and profitably. The business also employs full time mechanics, sales personnel, finance and administrative staff and two apprentices, the valeting team are sub-contractors.
The owner will provide full business familiarisation, training and handover within a mutually agreeable and timely framework to ensure a smooth transition of the business to the new owner/s.
If you are looking for finance to fund your business purchase, then we recommend that you talk with our independent finance broker. Because of his many years working at a senior level for a major high street bank he has had more success with finance applications than anyone else we know. He has helped numerous purchasers of businesses that we are selling, including buyers who have been turned down by their own bank! Call us today on 0800 046 1652 or email us at firstname.lastname@example.orgTurner Butler Disclosure Statement
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