Ref. No - BFS937637

LocationSouth Africa, Western Cape

Ref. No - BFS937637

Sector - Services

Asking Price
R1,530,000
Monthly Profit
R22,873
Asset Value
R 651,301
Stock Value
R 30,000
Yearly Net Profit
R 274,470

Summary

This franchised workshop delivers reliable and budget-friendly service, backed by a 10,000 km or 6-month warranty. A strong commitment to quality is evident in the use of genuine replacement parts, thorough their safety checks, and comprehensive reports for every vehicle. Drop-off and collection services within an 8 km radius further enhance customer convenience. The professionalism and genuine care demonstrated by the staff set this workshop apart from the run of the mill service center. The award-winning franchise group network has over 80 workshops nationwide servicing all makes of cars and bakkies. Every franchisee and staff member receives thorough training, and each workshop is equipped with advanced technology to ensure trustworthy, high-quality service for every customer. This particular business is based in a strategic and ideal part of the town to enjoy long term growth, and the business is very secure. The Owners have other more pressing business interests so would like to relinquish this one.

Give me more information

Fully describe the business's activities?

A distinguished motor service and repair workshop dedicated to customer satisfaction, quality and affordability.
As part of a nationwide network the workshop is renowned for its dependable service and professional staff.
Currently the business is still in the growth phase, but this will show exponential growth as the business becomes more established.

How does the business operate on a daily basis?

There is a Manager in place and the Owner visits the business on a regular basis.
The Manager, an Auto Electrical and Service Technician, is supported by 2 Service Technicians on the floor and there is also a Receptionist / Service Advisor and a Cleaner in place.

What Advertising/Marketing is carried out?

On a local basis the business makes use of local radio ads, has promotional boards up at some local sports clubs and they repost the Head Office advertising on local media groups.

What competition exists?

As with all businesses of this nature, there are independent operators in place in the town, but not franchised and not with the look and feel of professionalism that this business offers. .
Since this business also has an auto-electrician staff member on site, this brings in clients too.

How could the profitability of the business be improved?

An Owner who plays a operational role in the business would certainly help the business to grow significantly.
As with all of these businesses franchised stores, the business shows organic growth as time passes.

Give a breakdown of staff/ functions/ length of service?

Manager/Senior Technician who is also and auto-electrician
2 x Mechanical Technicians
Receptionist/Service Advisor
Cleaner

How involved is the Owner in running the business?

The Owner is not actively involved in the daily operations of the business.
They have other more demanding business interests and therefore would like to relinquish this business

When does the current lease end?

The current lease ends in April 2028 and will be renewable subject to negotiation.

What are the trading hours?

Monday to Fridays: 07.30 to 5.30 pm
Saturdays: 08.00 to 1.00 pm

What are the main assets of the business?

Service Equipment such as car lifts, diagnostic equipment, work benches, invertor etc
1 x motor vehicle
Office equipment and software/point of sale system
Sundry furniture and fittings

Strengths?

The franchise group have a national footprint
They offer a 6 month or 10,000 km warranty
The premises size allows for anticipated growth and possibility of more car lifts.
The Manager is also an auto-electrician which is a strong advantage.
Situated in a very secure business park and a gym is currently being next to this business which will be of benefit.

Weaknesses?

Parts can be a problem to obtain at times, however there is a daily courier service from George and a number of suppliers to buy from

Opportunities?

Increase the service technicians and car lifts as the business grows.
The trend for this franchise group is to show exponential growth after the initial start-up period and with good management in place the profitability will improve significantly.

Threats?

There are no known threats to this business.

What is the reason for the sale?

The Owner lives in the town but has other business interests elsewhere.
They are not actively involved in this business at all which is the reason that they would prefer to relinquish this business as they need to spend more time with their other business interests.
This business type will benefit from an Owner who is actively involved on a daily basis.

Contact | Enquire

Noel

Noel Heath

LocationSouth Africa, Western Cape

Preferred method of contact

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