Business Description
Make good money and enjoy life!
Let’s face it—many businesses that are now for sale are only shells of what they once were. A lot of them are not even worth trying to sell; they just closed their doors forever. Covid-casualties.
But a few businesses are what I call “Covid-proof.” This is one of them. I might even say it is “Counter-covid.” That is, people are no longer flying off to their favorite vacation spot or to see the family in Ohio, for fear of getting on a plane. That’s not likely to change for a long time.
So what are they doing? You guessed it—they’re heading for the Coast to enjoy some much-needed rest and relaxation. They’re getting into their RVs, their boats, and whatever else says “fun in the sun.”
Do boats need maintenance and repair? You bet they do. Someone once said, “A yacht is a hole in the water that you pour money into.” That’s a bit of an exaggeration, but still—boats, trailers, recreational vehicles—they all need specialty repairs and repeat maintenance from time to time. It is definitely a repeat business.
Including these times, it turns out. Consequently, this business has continued its years of strong performance, without a hiccup. That’s rare, and it tells us something about the company’s long-term stability and resilience in the face of whatever challenges the world can conjure up.
It has a staff of highly trained and loyal employees, so the new owner will not have to do everything. The husband-wife team has been doing work there, to be sure, but the company pays them well for that. The price is based on Seller’s Discretionary Earnings, not the “job” part. If the buyer wants to do that work, then traditionally there has been approximately another $100,000 per year compensation (on top of the business cash flow.)
This is a complete turn-key operation, including the real estate. That means you can get the best possible financing terms when you talk to a lender (and we have the best in the state for you to consider.) This point needs some elaboration: the business is paying for the real estate, essentially buying it for the owner. In addition, the business is providing the net cash flow, or Seller’s Discretionary Earnings, that serves as the basis for business value.
To be precise, the business is valued at over $650,000 but is priced at only $500,000. The real estate is valued, and priced, at $675,000.
Why not check it out? Request an NDA today. Learn how you can step in and take advantage of the decades of work that created this stellar opportunity!
Growth, Expansion, Scalability
The business has grown organically year after year because of its superb service and prime location.
The Covid crisis has sparked a substantial growth in Oregon Coast activities, as people have become reluctant to travel out of state. Instead, they are electing to spend their leisure time at the Coast. The result has been quite favorable to the company’s sales revenue and to its bottom line. This phenomenon is expected to persist even after the pandemic subsides, due to public health concerns.
In addition to the larger social context, continued growth is expected through more vigorous use of the magic of social media marketing. Satisfied customers like to tell their friends and helping them do more of this online will enhance growth and expansion going forward.
The company has a solid foundation in online rating services, and these can offer more growth through proactive marketing.
Transition Support
The owners will provide intensive orientation for the first month and will be available for email and phone support for three months from the date of purchase. After that, they will consider a consulting arrangement if the buyer wishes.
Financing
Fortunately, SBA lending has become more accommodating in the past year and a half and especially now as the agency works to support the economic recovery. They have loosened some of their previous stringent standard operating procedures, and the result is a higher loan to value ratio to qualified buyers. Down payments of less than 20% are now common.
The essence of loan qualifying is still Debt Service Coverage Ratio, along with the usual creditworthiness and collateral considerations. This company is highly financeable on the debt service coverage ratio part, and the buyer will need to be qualified on the other parts.
As with many companies nowadays (especially the Internet-savvy ones), the cash flow stream comes from intelligent market positioning, good management, and from just being highly customer-centric. Not to mention being in the right place at the right time…
We have some of the best SBA lenders in Oregon to assist the Buyer, and they get very creative when the need is there.
Facilities
The business operates in approximately 12,550 square feet of clean and well-maintained premises, on a well-located planned industrial property. This location alone is a significant draw to the business, with its extensive highway frontage, visibility, and easy accessibility.
Competition
Dominant market position, with no competition in a large geographic area, so there is a “captive market” that just keeps on coming in. The locals say they couldn’t get along without this business. And remember—there are now a lot more of those people from all over the state who just love to “go over to the coast.”
The company has erected substantial barriers to entry, via its superb location, its stellar reputation with repeat customers, and its “assembled and trained work force.” This latter asset is sometimes ignored, but just try to hire competent employees in today’s market and you will see how very valuable it is.
Assets
All of the furniture, fixtures, and equipment necessary to operate the business in its customary profitable manner are included with the sale.
The necessary data for accounting, customer service continuity, and vendor relationship management will be included, of course.
The real estate is included, at a competitive market price. As it happens, there are no other similar parcels to be had in this thriving coastal city. Another barrier to entry.
Summary
Clearly, this operation would be well-suited to a buyer who is sensitive to customer needs and experienced in managing a customer service business. If he/she has experience in boat and recreational vehicle maintenance and repair, so much the better.
This is just a brief description; you must see the business to really understand how very special it is.
If you would like to explore this offering, just request an NDA. You will get a highly detailed three-year financial report of cash flows and an objective risk analysis.
From there, if you like, it will be a short step to touring the business.
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Detailed Information
Inventory:
Included in asking price
Real Estate:
Owned Included in asking price
Building SF:
12,550
Employees:
7FT
Facilities:
The business operates in approximately 12,550 square feet of clean and well-maintained premises, on a well-located planned industrial property. This location alone is a significant draw to the business, with its extensive highway frontage, visibility, and easy accessibility. As noted above, the prime real estate is conservatively valued at $675,000. That is one component of the package price. The other component is the business itself, which is priced at $500,000, considerably less than the broker’s price opinion.
Competition:
Dominant market position, with no competition in a large geographic area, so there is a “captive market” that just keeps on coming in. The locals say they couldn’t get along without this business. And remember—there are now a lot more of those people from all over the state who just love to “go over to the coast.” The company has erected substantial barriers to entry, via its superb location, its stellar reputation with repeat customers, and its “assembled and trained workforce.” This latter asset is sometimes ignored, but just try to hire competent employees in today’s market and you will see how very valuable it is.
Growth & Expansion:
The business has grown organically year after year because of its superb service and prime location. The Covid crisis has sparked a substantial growth in Oregon Coast activities, as people have become reluctant to travel out of state. Instead, they are electing to spend their leisure time at the Coast. The result has been quite favorable to the company’s sales revenue and to its bottom line. This phenomenon is expected to persist even after the pandemic subsides, due to public health concerns. In addition to the larger social context, continued growth is expected through more vigorous use of the magic of social media marketing. Satisfied customers like to tell their friends and helping them do more of this online will enhance growth and expansion going forward. The company has a solid foundation in the online rating services, and these can offer more growth through proactive marketing.
Financing:
N/A
Support & Training:
Transition Support The owners will provide intensive orientation for the first month and will be available for email and phone support for three months from the date of purchase. After that, they will consider a consulting arrangement if the buyer wishes.
Reason for Selling:
Retirement
Licensed in Oregon