Auto Repair and Service Franchise For Sale

Not Disclosed, CA
Los Angeles County

The store is located along Highway 57

Asking Price: Annual Revenue:
$150,000 $588,722

Automotive & Boats: Auto & Truck Repair & Service

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RE: Auto Repair and Service Franchise For Sale Broker: Will Simmons

Quick Facts

Asking Price: $150,000
Annual Revenue: $588,722
Net Profit: Not Disclosed
Cash Flow: $61,727
Total Debt: Not Disclosed
FF&E: Not Disclosed
Real Estate: Not Disclosed
Year Established: 36
Employees: 5
BBN Listing #: 816062509
Broker Reference #: Not Disclosed

Email or Print Listing

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Business Overview:

The current owner began operating the franchise in 2010. After a successful career working in management positions at several US retailers, he wanted to take on a new challenge. While he always had a deep understanding of business and management, the art and science of operating an automotive repair shop was new to him.

The franchise has been in the community since 1986. The previous owner ran the business well, but by the time the current owner inherited the business, its systems and operations were antiquated. While the franchisor spends 5% of all royalties on digital advertisements and SEO, the current owner decided that investment wasn’t enough. He spent time investing in social media and advertising in the local community. The shop locally sponsors community organizations and local libraries. These investments have paid off, as the current owner has collected $6.4M in total sales across his eleven years at the helm.

Additionally, the owner has trained his service staff to follow the business’ core values of trust, respect, and commitment to customer enthusiasm. The shop has the most and highest reviews of any auto franchise in the city. In a business where trust and reputation are paramount, the shop excels. The business has averaged a customer retention rate of over 80% during the current owner's tenure and has received the franchisor's award for outstanding customer service in 2014 and 2016.

After over a decade of success, the current owner is looking to call it a day. He’s in search of an interested buyer to buy up the shop. It’s important to him that the buyer has strong ethics, is an honest person, and is dedicated to providing quality service.

The broker of record for this transaction is Jon Nesbitt, CA License #1002237

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Property Features and Assets:

The store is located along Highway 57 in Los Angeles County. The close proximity to major towns and location along a major artery provides for steady customer acquisition. The facility includes 2000+ square feet of shop space with 3 lifts and 3 bays. Each work bay is equipped with a computer for parts ordering and access to vehicle information. The current owner installed a new roof in 2017 along with a new A/C unit. In addition, the current owner has kept energy and utility costs low by retrofitting his shop with LED efficient lights. These lights also allow for better visibility for the technicians. All shop equipment has been fastidiously maintained and is in good working order. If requested by a buyer, the current owner would happily submit to an equipment inspection.

Market Competition and Expansion:

The biggest weakness that the shop faces is the perception that franchises have from outsiders. Often franchises are seen as big businesses that offer a lower-touch experience for customers and are putting smaller, independently-owned shops out of business. While these stereotypes persist, the current owner has proven that a franchise unit can become a beloved and reputable auto shop, no different from a family-owned business. The one threat area is universal with auto shops: reputation makes or breaks the business. The new owner will need to be very proactive in maintaining the standards set by the current owner as it relates to customer service and attention to detail. Being relaxed on these fronts would set up the business for poor online reviews and make continuing or surpassing the current owner's success a difficult task.

Additional Details:

  • The property is leased.
  • The owner is willing to train/assist the new owner.
  • This is not a homebased business opportunity.
  • This is a franchise resale opportunity.

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