Description About This Posting: Auto Body Shop - For Auto Wheels, Very Profitable
This is a specialized 'auto body shop for wheels' repairs, refurbishing, painting, and polishing. Serving the San Jose Metro/Bay Area for over 30 years. All work is done in-house, using a full array of wheel straightening equipment, including a state-of-the-art wheel press and a hub aligner that brings wheels back to 'near-perfect' trueness.
They reconstruct wheels to new condition and structural integrity. First, the wheel is straightened as much as possible, then they weld new aluminum or steel to repair or replace broken off pieces of wheels that were lost in especially bad impacts. Once the new material is machined to meet the original specs, they then smooth it to match the wheels' original surface. The customer then has the option of original paint, custom paint, or polishing it to a mirror like shine that even the most critical eye would approve of.
Customers include individual vehicle owners, corporate vehicle fleets, and commercial auto body shops throughout the greater San Francisco Bay Metro Area.
This is an ideal business that capitalizes on the trend to repair rather than replace. Repairing wheels usually costs less than buying new, and often the damaged wheel is no longer available from the manufacturer. With a 'wholesale' as well as retail customer base, it provides economic stability and sustainability. The potential new owner could be an owner-operator, a semi-absentee investor, or an existing auto body shop that wants to expand its market.
The business is in a leased facility with office, work, and storage space, with a monthly rental of approximately $7,000 per month. Equipment includes (but not limited to) automatic polishing machines, polishing lathes, wheel presses, CNC machines, paint/spray/powder booths, paint & powder guns, lifts, wheel balancer, blast cabinet, compressors, and 5 vehicles for pickup and delivery. The itemized cost to acquire and install replacements for all the furniture, fixtures, and equipment ('FF&E') with similar type, age, and condition ('used, not new') is $400,000.
Sales are approximately $1,200,000 annually. Gross revenues in the first three months of 2019 (Q1) are over $300k, with an annual SDE trending to be $300k, perhaps more. 2018 financials are still being completed and 2018 SDE being calculated; complete financial history will be available to serious prospective buyers upon signing an NDA and meeting with the broker and seller.
The Transaction: The asking price for the entire business is approximately 50% of annual gross revenue / 2X SDE $599,900. This includes website, phone number, name, customer database, manufacturer relations, tools, equipment, instruments, and a reasonable period of training and management transfer consultation from the seller (length of time to be negotiated). It would not include the sub-S corporate entity, cash-on-hand, rental deposits, accounts receivable, or accounts payable. Parts inventory cost is negotiable.
Note: All data on this business are provided by the Seller for information purposes only, and no representations are made by the Broker as to accuracy. The Broker has made NO independent verification of the data contained herein. The Broker represents the Seller and does NOT represent the Buyer. The Buyer is advised to perform independent due diligence and seek the advice of professionals prior to purchasing the Business.
To get more information about this Auto Body Shop - For Auto Wheels, Very Profitable business for sale in
San Jose, SF Metro Area please phone Tim Cunha (Intermediary, Broker - BRE License #:01919755) at 650-600-3751 and 844-237-6487 - if you get
voicemail please leave a detailed message - make sure you mention you
saw this posting/ad #252615 on BizBen.com. In addition to phoning
Tim Cunha, make sure you email Tim Cunha above to get more info about this
Auto Body Shop - For Auto Wheels, Very Profitable, to ask any questions or request an appointment to see this
business for sale, franchise, or opportunity. Thank you.
Related Links And Information Regarding This Posting
For over 25 years I have provided niche business purchase financial advisory and loan placement services with SBA and Non-SBA Loans, Retirement Plan Conversions, Private Investors, etc. Financing amounts available: $20K to $7MM. Call today to get pre-qualified or receive financing: 866-270-6278.
I've worked at top Bay Area law firms and have extensive experience with business entity formation, mergers, dissolutions, conversions, employment matters, including experience in reviewing and negotiating transactional documents such as leases and purchase agreements.
Redwood Escrow Services, Inc. is a full service, licensed independent escrow company. We are EAFC Fidelity bonded, fully insured & licensed with the Department of Corporations. Committed to offering our clients the most comprehensive variety of escrow services available. Phone Janet at 510-247-0741.
McGovern Escrow Services, Inc., is a leading independent escrow company. We are a trusted partner with our clients, assisting them through the tangled bulk sale & liquor license transfer process. We provide attentive, quality & innovative customer service. Phone Elizabeth McGovern at 415-735-3645.
California Business Escrow, Inc. is a full service independent escrow company serving all of California and has expertise in a wide range of escrows. Our team prides itself on providing an exceptional escrow experience. For more info phone Diane Boudreau-Tschetter at 888-383-3331 or 209-838-1100.
Mark has a broad range of small business purchase & sale experience from analyzing potential acquisition targets to successfully guiding buyers and sellers through the purchase & sale of small businesses. Mark can assist with contracts, negotiations, legal matters, etc. Reach Mark at 949-478-8393.
Related Articles, Events, Blog Posts, Discussions, Videos, Interviews
Business tax filings are very important factor in determining the credibility of business financials. Just seeing those financials, you can't determine whether those values are overstated or not. Some business owners provide made up financials to buyers - so, that's where tax fillings come in.
Was just asked the question from a business owner what the "typical commission" amount is for a broker or agent and if upfront fees are common? Thought this might be a great Discussion topic on BizBen for both business owner/sellers and potentially for business buyers (buyer representation).
We all understand the idea of paying too much for a small business. But is there such a thing as not paying enough? That seems like an odd notion, but I'm familiar with situations in which a buyer acquired a small business for a figure substantially under what probably was market value.
How do you determine the value of your business when you go to sell or even buy a business? There are so many factors and that is usually one of the first items serious buyers inquire about. Tim Cunha JD (SF Business Broker at 650-600-3751) initiates this Discussion On BizBen with other Advisors.
Before buying a business, all serious business buyers should ask themselves some key questions about possible buying a small California business, franchise, or opportunity - from Peter Siegel, MBA (Business Purchase Financing Expert, ProBuy & ProSell Program Advisor with BizBen) at 866-270-6278.
What are the actual "provable" adjusted net earnings (cash flow) of a small to mid-sized business being purchased? Buyers need to look carefully at all financial info for the "real" adjusted net income or cash flow. Peter Siegel, MBA (business purchase financing expert) at 866-270-6278 explains.
Who really represents the buyer? The selling broker or agent through dual agency? Many brokers and agents weigh in on this Discussion on BizBen. Bottom line is all business buyers need to know who really represents them and has their best interest at heart when seeking and negotiating on deals.
As a SF Bay Area business broker (Rob Hartman), the phrase I hear often from my buyer clients is, "I am looking for an absentee run business." Since it is such a popular topic, let me offer an alternative method of business selection. There are a couple things to keep in mind as you search.