Use Car Dealership
This is a successful used car dealership with a OCC-finance license, state dealer license, and connections to all the auto auctions in the Houston area. The business is located on one acre of land with a small sales office fronting on a major highway with great visibility and access. They have the only remaining occupancy permit for a used car dealership in the zoned City of Pearland. They are selling approximately 17 cars per month with an average cost of $7,500 and average selling price of $11,500. They buy cars at various auto auctions in the Houston area. The company has several lenders they use for floor planning and to get customers financed. The company does some seller financing, but then sells the notes to finance companies and investors. Starting in 2016 with their own limited equity the company has managed to do very well. A more well funded owner can reduce the interest expense of floor planning and do more seller financing with high interest notes. The real estate is available for sale at $650,000 or the landlord will give a long term lease.
Background information
Reference:
82382
Year established:
2/16
Reason selling:
Owners want to open another location on the north side of Houston.
Finance
Sales:
$2,344,000
Profits:
$438,000
Profit type:
Discretionary Earnings
Operations
Employees:
1 sales person and 2 part-time clerical persons.
Equipment:
Office equipment
Inventory:
$100,000 used vehicles
Premises
Facility:
There is a free standing sales office of about 440 sq. ft. There is ample room to add additional buildings for auto repair services.
Square footage:
Sales Office Building @ approximately 440 sq. ft. sitting on 1 acre.
Rent and lease terms:
Current rent is $2,500 and scheduled to go to $3,000 in February 2019, $3,000 in February 2020, and $3,500 in 2021. The tenant has an option to purchase the real estate at $650,000. nt
Location:
The business is located on a 1 acre lot on a major highway in Pearland , TX
Price and terms
Price:
$499,000
Down payment:
$100,000
Financing:
For Business only: $100,000 down payment and new SBA Loan for $399,000 = 10 Years @ 7.5% Interest = $4,736.20 P/M. Business & Real Estate = Total Price of $1,149,000 with $210,000 Cash Down and new SBA Loan for $939,000 = 18 Years @ 7.5% Interest = $7,934.30 P/M.
Training:
As needed