Highly Profitable Car & Van MOT and Service Business

A very well-established business is available for acquisition due to the intention of the owner to retire shortly. Medano Ltd is acting for the owner in the sale of the business.
• Turnover of the business in last full financial year ending Dec 31st 2023 was £386,000, with a gross profit of £145,000 (36.6%)
• Class IV MOT Bay and Class VII preparation and Class VII presentation capability
• It has an outstanding reputation for its quality levels and customer service and hence has built up a large, very loyal, and long-standing customer base.
• 468 customers traded with the business in year ending Dec 31, 2023, 97% of whom are returning customers; 16% (77) have been customers since 2006
• Has both private and local business car and van fleet customer base
• Operates from a 4-bay purpose built, modern facility within a business park
• The premises are leasehold with the lease owned by local businessman. The current lease is time expired however the owner is very comfortable with this situation as the business has leased the building from new. The owner is very amicable and open to discuss any new proposed leasing agreement
• It would offer a very strong local brand to an acquisitor to continue the enviable financial performance track record of the business
• It may suit an acquisitor who is already in the trade but wishes to set up and run their own operation or alternatively it would be an excellent “bolt-on” for an existing car repair and servicing business to expand geographically
• The business could be acquired via a full share purchase of the business or on an asset and goodwill basis
• Due to the retirement plan of the owner an “earn out” mechanism is not envisaged as part of any prospective sale – however a short-term plan to assist the new owner(s) would be considered for a short period of time on a consultative fee basis.
Full details of the business within a Memorandum of Sale are available from Medano Ltd under a 2-way NDA to preserve necessary confidentiality for both parties.