M.o.t. Service, Repair And Sales Garage Focusing On French Manufacturers | | Undisclosed London | | M.O.T. Service, Repair and Sales Garage Focusing on French Manufacturers Ref.AL188 Location West London Asking Price £375,000 | | BUSINESS FOR SALE ADVERT DETAILS ADVERT NUMBER : 52006
ADVERT IMPRESSIONS : 35,237 TIME(S) | | | | BUSINESS SECTOR: | Motor & Transport | | TRADE TYPE: | Mot Services | | SALE: | Agent Sale | LEASEHOLD: | £375000 | | | | | | | | | | Add this business advert to your: | | | | | | | | | | | | | | | BUSINESS DETAILS: | Business profile:
This well established garage was originally established in 1990 as an approved Peugeot Dealership. Since that time the business has been known in the area for selling and maintaining French cars. The business has built an enviable reputation in the area, and now has minimal direct competition from franchised dealerships across approximately a 5 mile radius of West London and Middlesex. The business became independent a number of years ago, and at that time widened the focus to include other marques such as Renault and Citroen. Whilst only official parts are used, the labour rates employed by the garage result in competitive prices in the marketplace with the highest quality of service and workmanship.
The vendor of the business took over the operation in 2003, and has steadily built the levels of revenue and profit. In the past 30 years, the garage has built a database of some 30,000 vehicles which have passed through the door, along with around 5,000 customers who receive promotions and marketing. With this customer history the business enjoys excellent levels of repeat trade, allowing for stability to future earnings.
The garage area is well appointed, and has received constant levels of investment over the years to keep at the forefront of technology. There is an M.O.T. bay, which draws in new and existing customers, and all the approved equipment required to maintain vehicles from the target manufactures. Currently the business receives approximately 25% of revenue from car sales, with the remaining 75% from service, maintenance and parts. The majority of work can all be handled on-site with only coachwork sub contracted out.
Equipment:
The garage is operated with the following equipment:-
Fully computerised back-office system, with server and PC’s running “Gemini” Dealer Management System
Digital integrated telephone system
2 x Bradbury 4-post lifts
5 x Bradbury 2-post lifts
1 person MOT bay
3 Diagnostic machines. (one of which is an official Renault / Peugeot unit)
Wheel Alignment machine
Tyre Fitting machine
Air-conditioning Station
Compressor
Petrol / Diesel emission machine to the latest legislation
Specialised hand tools
Customer Service:
A business in the car sales and maintenance sector lives on its reputation and levels of customer service. It is hear that this business stands out, and has beaten all comers to gain an impressive loyal customer base. The garage provides the full service one would expect of a main dealer, including car pick-up and delivery when requested, with 24 hour turnaround in most cases. All customers receive a pleasant welcome, and can sit in a well appointed area when process the purchase of a vehicle, or waiting for their car to be serviced.
Key Strengths:
The lack of direct competition with a similar focus across an affluent area is obviously a great asset to the business, as is the large customer base. The history, and shear number of previous satisfied customers gives an excellent level of on-going revenue, with a confidence in future earnings. The garage has the capacity to handle numerous vehicles at once, and with a one man M.O.T. bay on site, can handle most work in-house with a regular draw or returning and new customers.
Growth and Expansion Opportunities:
The business is well placed for further growth. The vendor has been approached a number of times by the auto manufactures to consider moving to a franchise operation. Whilst he has decided to maintain his independence, there is every opportunity for new owners to go in this direction should they so wish. With marketing to new customers further a field, and the on-going organic growth via recommendation and referral, the garage is well placed to continue increase revenue and profits year on year under new management.
Premises:
The premises is leasehold, with 8 years remaining on a fully renewable 15 year lease. The annual rent is around £60,000, with business rates payable circa £18,000 The main area at the front of the premises has a workshop with space for 4 vehicles and a wheel alignment and fitting area. Also in the main area is a management office and reception area with customer seating. There is a mezzanine floor in the main area for spare parts storage. At the rear, is a large yard for parking, and a 2 car workshop with MOT bay.
Business Hours:
Monday – Friday: 8:30 am – 5:30 pm
Saturday: 9:00 am – 1:00 pm
Security:
The business has a monitored alarm system with C.C.T.V. in operation.
Advertising and Marketing:
The business conducts regular leafleting campaigns to the local area. There is a comprehensive website with many domain names registered to the business which directs owners of French vehicles in the catchment area straight to the business which has top natural search positions. There is also listings in Thomson Directories and Yellow Pages, and a huge amount of word of mouth recommendations and referral.
Financial profile:
The business is being offered for sale on a going concern basis, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.
For the past financial year Turnover was circa £824,000, with Gross Profit circa £253,000 and Adjusted Net Profit circa £95,000, once Directors PAYE, Depreciation and non-recurring costs are accounted for.
Assets are conservatively valued at circa £75,000, with Stock inclusive of vehicles and parts circa £30,000.
Employees:
The vendor of the business is responsible for all day-to-day operations, management and business administration. In support full-time are a Service Manager, Parts Manager, 5 Technicians and 2 cleaner / drivers.
Support and Training:
The vendor is agreeable to a period of handover and training for the successful transition to new ownership.
Reason for Sale:
After many years in the industry, the vendor is looking to take a step back, and enjoy a different work life balance with his family. | | | | | | FOR SALE | | | | | REFERENCE: | AL188 / RightBiz | | | | | | Request more information about this business.. | | ENQUIRIES: | | | | CONTACT SELLER TO GET THE SELLERS DIRECT CONTACT DETAILS AVAILABLE TO MEMBERS ONLY | | | | | | | | | | | |
