PRICE DROP: Highly Profitable Car Dealership and Growing Repo Business
Illinois
| Asking Price: | $999,999 |
| Gross Revenue: | $2,585,000 |
| Established Year: | 2017 |
| Cash Flow: | $650,000 |
| Real Estate: | $185,000 |
Listing ID: 2080024Listing provided by BizBuySell
BUSINESS DESCRIPTION
The business was started in 2017 and has two areas it focuses on with both used car sales and a repossession yard. The repossession side of the business was added in 2020. Both are profitable in the market and growing. The car sales side of the business has historically been the bigger of the two portions with 75% of the profit stream being realized from this aspect. The repo side of the business is growing by leaps and bounds with this year's numbers far outweighing last year's numbers at this same time. The repo side of the business is trending to be a hot market for the next 10 years with the effects of COVID and the financial ramifications of that. Currently, the repo side of the business is 25% of the business.
DETAILED INFORMATION
Location
Illinois
Inventory
Not Included in asking price
Real Estate
Owned
Included in asking price
Employees
6
Facilities
This business includes 3 commercial lots that currently house the main office building, the used car lot, and the repo lot. The tow trucks currently used by the business are also included in the asking price.
Competition
Within its market, the company doesn’t compete with ‘program cars’ so they don’t compete with the new car stores. Other smaller dealers in the area would be their competition, but there are usually enough customers that it comes down to who has the nicest cars, which this business prides itself on doing. The subprime market is almost always forced to use the ‘buy here pay here’ lots which this business doesn't offer. There are not many repo businesses in the area.
Growth & Expansion
The amount of growth potential for the Repo side of the business is huge. Adding LPR cameras on the trucks allows for real-time knowledge of cars in the repo system from local financial institutions.
Support & Training
Sellers are willing to work with the Buyer in training the new owner/operator for a successful transition for a period to be negotiated.
Reason for Selling
Owners are entrepreneurs and looking to move on to the next adventure
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