Automotive - Strong Profits for 15 years
Stock Included: No
Stock Value: 200000
Years Est: 60
Gross Revenue: 1493273.00
About The Business
It takes many years of hard work and determination to establish a widespread reputation for quality customer service, backed up with outstanding essential products. Associated with the Automotive Industry & established over 60 years, proven profit history.
The business is structured so that a new owner, with an interest in the automotive industry, could successfully buy this business and make at least the same profits.
Essential Products and Services in a growth market
• Net profit of $335,000
• Absolutely essential products and services
• Low risk, low overheads and working capital
• Current Owners had business for 15 years
• Wide Customer/income base
• Low staff
• South West Population Growth Region
• Increasing demand ongoing
Benefit: Products and services provided by this Business serve an essential, critical need for a large part of the population.
Benefit: The business has been trading for 60 years, it has an outstanding reputation combined with great profit margins, and a great range of products and services.
Benefit – It is located in the popular SW region which is seeing exceptional population growth.
• LOW RISK - Increasing sales and net profits –Covid19 affect on this business has been irrelevant and the business has continued with it’s strong trading and profit history through this period.
• LOW RISK - Essential Products and Services – customers cannot function without these products and services.
• LOW RISK - A Low Number of 2 Full-Time Staff (3 in summer) – easy to manage.
• LOW RISK - High Gross Profit Margin – the Business reflects a constant high gross profit margin around 52%, and Net Profit at 22%. Outstanding.
• LOW RISK - Customers spread over wide range of industries, no-one customer is a large component of sales.
• LOW RISK - High Level Of Customer Loyalty and strong word of mouth referrals, combined with repeat customers.
• LOW RISK – High Asset Mix in Purchase Price– Risk reduction is further enhanced by the fact around 33% of the asking price is made up of stock and plant equipment.
• LOW RISK - No sales team – Sales are self-propelled, no sales staff needed.
• LIFESTYLE - Could be scaled up to run under full management.
• LIFESTYLE - Location Of The Business Is In WA’s beautiful South West – beaches, cafes and restaurants, great shops and a growing population.
Here are the other reasons to buy this business
• Proven sales and profit growth over many years
• Trading strongly through COVID
• High Gross Profit & Net Profit % ``
• Good management systems and procedures are in place
• No reliance on sales staff, self propelled sales
• Small group of long term suppliers
• Low working capital requirement
• Low full-time staff
• Sales spread over a diverse range of customers
• Long proven period of establishment
As you can see – there are a lot of good reasons to look at this business seriously
The population of the South West Region is growing rapidly and the potential for growth of this business is exponential.
The business, linked to the automotive industry, offers many genuine opportunities for organic growth without excessive advertising or sales staff.
Reason For Sale
Why would people sell such a great business?
Established for 60 years and current owners have had the business for the last 15 years. This business has given them a great income and great lifestyle in their home town and now they are ready for some new challenges and eventually some travelling. They want to give a new owner the best foundations to build on and the business is ready to take advantage of the growth occurring in their sector and in their regional location.
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