Impressive Cash flowing Tire and Auto Repair Shop

We have all heard the term “Jack of all trades” but many don’t know that is only half of a quote, which reads “Jack of all trades master of none, though oftentimes better than master of one”. I am delighted to present this business opportunity that has managed to find the ideal balance of service offerings, allowing them to truly be both Jacks and masters of their trades.

This expertise and superior customer service has made them the top choice for tire, brake, alignment and suspension work for over half a century. Recently winning local accolades for the “best of” in three separate categories. With retirement on the horizon the owner/operator of this successful tire and auto repair shop is looking to transition this successful business to new ownership.

Located in one of the many desirable northern Lake Michigan destination towns this business has withstood the test of time by offering quality service, competitive pricing, and genuine customer connection servicing both the public and commercial clientele. The main 6,500 sqft shop features multiple service bays, reception area, office, and storage. A secondary building allows for even more overflow storage (included in this offering).

6 full time technicians carrying certifications from the State of Michigan, Hunter, and Tire Industry Association (TIA) are complemented by a trusted full time shop manager. The current owner/operator willing to assist in transition efforts.

Now, let's dive into the numbers. Over the past three years, the business has generated average annual sales of $3,000,000, with an average normalized annual SDE of $346,343. This opportunity is attractively priced at $1,900,000, which reflects four key components:

1. A 3.5x multiple of annual SDE: $346,343 x 3.5 = $ $1,212,201
2. The business’s goodwill and enterprise value which includes 6 highly skilled technicians along with a robust list of assets and specialty trade equipment
3. Approximately $70,000 in salable inventory
4. Real Estate value of approximately $600,000

The sellers anticipate an asset sale in which they retain cash and the minimal A/R while retiring all liabilities. The buyer receives all furniture & fixtures, all fixed assets, inventory, and real estate. In addition, the sellers will hold a meaningful six figure seller note for a qualified buyer.

Contact Ryan Johnson at Praxis Business Brokers (269-338-9809 or [email protected]) today to learn more about this excellent business opportunity.