May 14, 2020 at 12:40 pm #98879Mike MurphyParticipant
First time poster and glad to be here.
I’m a 40 something entrepreneur not currently in the auto repair business but I’ve been exploring shop ownership for several years.
Unfortunately, I’ve come up short using traditional business brokers to find a shop worth purchasing. To date, all that I’ve looked at have been overpriced and/or have some serious issues.
As shop owners and managers, do you have any tips for finding a solid, well-run general auto repair shop in the Austin, Texas area (EBITDA/SDE of $250k-$2MM) to acquire?
I would be grateful for any insights.
MikeMay 15, 2020 at 4:19 pm #98925Tom HamParticipant
Stop in at local parts stores – not so much the DIY chains – but the stores that mostly service independent shops. See if you can get a minute with the manager, or better yet, the outside sales person who visits the shops. Another source would be tool truck operators. These people know the owners and know who might be ready go get out. They probably won’t tell you, but if you come off as credible, they will pass your name on and sooner or later you will get contacted.
Tom - Shop Owner since 1978
1 user liked this post.May 28, 2020 at 9:11 pm #99436WaltParticipant
^ excellent advice above.
When I was shopping 2 years ago, I was looking to relocate at the same time so that wasn’t an option. Honestly, I just got really lucky, but I do believe everything happens for a reason. I found the perfect shop in the perfect area on bizbuysell, priced, well, perfectly. It was by far the best decision I ever made.May 29, 2020 at 11:13 am #99471Andrew PollinaParticipant
I’m curious, would it be too bold of a move for Mike or anyone else looking to acquire a business to simply stop into a shop and inquire if they are looking to sell based on the old adage “everything is for sale.” That could initially lead to an inflated value in the current owners head if they aren’t really motivated to sell, but it plants a seed and one day that owner may say “maybe I should sell. Where’s that guy’s card?” and the ball starts rolling from there and all of a sudden they’re motivated.
What about contacting/acquiring a business with poor reviews? Theoretically, it’s an indication that the owner’s not “into it anymore” so to speak. Financial suicide or opportunity?
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