Contact: Glen Toadvine
Email: [email protected]
Your Reference ID: GT1082217
It has been a great 40-year run for the owners of this very successful, multi discipline, multi-location Southeast Michigan automotive business with specialties in towing, collision repair, and truck/auto service. It is now time for the sellers to retire and transition the business to only its second owners.
Of the four income streams, towing is both the largest and most profitable. With over 20 newer tow trucks in excellent condition, this 24/7/365 component is the largest towing service in its market area. The business has many commercial towing contracts and agreements in place with both insurance companies and municipalities. The company has large truck towing capabilities.
The business has three locations (owned by the sellers) with all facilities both attractive and well maintained. The facilities can be leased under favorable terms or purchased in a separate transaction for $2,000,000.
Over the past five years, the business has averaged $7,000,000 of annual revenues with SDE (sellers discretionary earnings the historical normalized cash flow available to pay an owner-operator and service debt) averaging $1,000,000 over the same five year period. The seller anticipates an asset sale with a $4,000,000 price in which the seller retains cash and A/R while retiring all liabilities. The business comes with $2,200,000 (value in place) of fixed assets leaving the goodwill component of $1,800,000, an attractive 1.8x SDE. In addition, the sellers will consider carrying a high six-figure seller note for a qualified buyer. The sellers will also offer the buyer ample transition training to match the buyers needs.
Please note that potential buyers will be required to sign a non-disclosure agreement, and individual buyers will be required to demonstrate the financial strength to consummate a purchase. To learn more about this outstanding opportunity please contact Glen Toadvine (email@example.com).
Location(s): Metro Detroit
Asking Price: $4,000,000
Cash Flow: $1,000,000