Specialty Internet Automotive Dealership with Consistently High Margins
Asking Price:$2,200,000
Cash Flow:$1,000,000
Gross Revenue:$2,900.000
EBITDA:$864,000
FF&E:$30,000
Inventory:$375,000*
Rent: $5,000 per Month
Established:1985
Fully licensed dealership
Business Description:
Internet Sales Leader With Top Website Rankings (SBA Pre-Approved)
This is a 39-year-old specialty internet-based motor vehicle dealer in a segment of the industry with very high margins. Gross profit per sale averages $12,000 or more. Almost 90% of the business is developed from our websites and social media leads, with a significant repeat business component. More than 75% of all vehicle sales are completed online or by telephone with end-users and other dealers from all over the country and beyond. The business has a New York dealer license valid for sales and purchases in all 50 states and beyond and is fully insured.
The business is operated with low overhead by a small staff in a comfortable and easily accessible office space on Long Island, NY. In addition to the owner, there are three key full-time employees and one part-time employee. All would be willing to stay with a new owner as long as they were treated fairly. The owner would also be willing to stay on for a sufficient training and transition period and as a salesperson, purchasing agent, or consultant thereafter.
In 2023, the business had gross sales of over $2,900,000 with an owner's cash flow of over $1,000,000. This was a healthy increase over 2022 which was a great back-to-back year after the pandemic in 2021. Financial and sales results for 2023 exceed all prior years with nearly $3,000,000 in revenue. These figures have been professionally CPA-vetted. With new commercial vehicles having huge retail price increases and used vehicles being scarce due to supply chain issues and good used vehicles extremely hard to find in the USA, this business has done even better in 2023 as it has increased profit per unit and market share.
All sales are well-documented, as all vehicle sales must be registered with the NY State Department of Motor Vehicles and have been forensically examined. The business is in excellent financial condition and has substantial room for growth. There is potential to add vehicle financing, extended warranty sales, expand the volume of vehicles for sale, and additional accessory sales.
The asking price for the business is $2.2 million. We seek a serious and financially qualified buyer with at least $2,000,000 in liquid funds ($1,400,000 to cover the down payment, plus an additional $400,000 +/- for the current inventory). The owner will stay on for at least three months as a mentor and an additional period as an advisor. A qualified buyer can obtain vehicle financing for the inventory against the vehicle titles if needed. You do not need a motor vehicle sales background since the operations and office manager and staff have handled thousands of sales and purchases over the last 39 years; however, a financial or internet sales background or qualified manager would be a plus.
All meetings must be scheduled by appointment after providing proof of liquid funds.
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Detailed Information
Location: Long Island, NY
Inventory:
Not included in asking price
Real Estate: N/A
Leased Yes
Building SF:
N/A
Lease Expiration:
N/A
Employees:
5
Furniture, Fixtures, & Equipment (FF&E):
Included in asking price
Facilities:
Licensed motor vehicle dealership with a modern office suite, vehicle storage, and customer parking.
Competition:
Market Leader in a Highly Profitable Specialty Industry Segment with outstanding internet websites and top search results. Our well-developed social media marketing strategy, together with an unmatched supply chain for vehicles, repairs, and parts, makes us the market leader iand enables us to sell nationally.
Growth & Expansion:
The company operates in growing industry segments for the transportation of senior citizens, the handicapped, churches, non-emergency medical transportation, and assisted living facilities. Many of the vehicles are converted for mobile businesses and personal RVs. All of the sectors mentioned above are experiencing growth and the demand for pre-owned reconditioned vehicles is very high.
Support & Training:
The seller will mentor the buyer for a minimum of three months and can remain as an officer or consultant for additional time with appropriate consideration.
Reason for Selling:
The owner wishes to retire within the next year.
