Coming Soon
The dealership is a well-established, high-volume independent used vehicle dealership located in Houston, Texas. The company has evolved far beyond a traditional used car lot into a vertically integrated automotive retail platform with established financing relationships, significant operating infrastructure, an experienced workforce, and multiple opportunities for future growth.
The business has been built over several years with a focus on controlling every major aspect of the automotive retail process; including vehicle acquisition, financing, transportation, reconditioning, mechanical repair, body and paint, inventory management, and retail sales.
This operating model has created efficiencies and competitive advantages that differentiate the dealership from many independent dealerships.
Today, the business represents a turnkey acquisition opportunity for a strategic buyer seeking an established platform with the infrastructure, personnel, systems, and capacity to support future expansion.
Listed By: Andy Erskine
Background information
Reference:
HTX01-1095
Reason selling:
Focus on SAAS business servicing the Auto dealership market
Finance
Sales:
$15,000,000
Profits:
$562,000
Profit type:
EBITDA
Operations
Employees:
40+ team members
Inventory:
Estimated $5,000,000 in inventory (vehicles) at cost
Premises
Facility:
The operating facilities are owned by affiliated entities. The seller intends to offer a long-term lease to provide continuity and allow the buyer to continue operating without purchasing the real estate as part of the transaction. (Real Estate is available for purchase)
Square footage:
9,000 / 72,000
Location:
2 locations located in Houston, Texas
Opportunities
Growth:
1. Monetize Sitting Inventory Through Vehicle Rentals The dealership periodically maintains retail inventory that remains available for sale while awaiting a retail buyer. A new owner could evaluate placing selected eligible vehicles into short-term rental programs, such as Turo, while those vehicles are in inventory. This strategy has the potential to generate supplemental revenue from inventory that would otherwise remain idle, provided insurance, lender, and operational considerations are properly addressed. 2. Lease Excess Reconditioning Center Space Approximately 50% of the reconditioning facility is currently underutilized. A buyer could generate recurring rental income by leasing unused areas of the facility to: ● Independent mechanics ● Automotive specialists ● Mobile repair businesses ● Detail shops ● Specialty automotive service providers This creates an opportunity to convert existing fixed assets into additional cash flow with limited incremental investment. 3. Increase Utilization of the Paint & Body Department The commercial paint booths are currently utilized for approximately four hours per day, leaving significant unused production capacity. A new owner could increase profitability by: ● Accepting additional retail collision work ● Performing insurance repairs ● Expanding wholesale body and paint services ● Serving local dealerships and fleet operators The infrastructure is already in place, allowing additional revenue without major capital expenditures. 4. Expand Wholesale Reconditioning Services The existing facility could provide additional services to: ● Independent dealerships ● Fleet operators ● Rental companies ● Commercial vehicle owners Potential services include: ● Mechanical repairs ● Collision repair ● Paint services ● Detailing ● Vehicle reconditioning 5. Increase Retail Sales Volume The current infrastructure appears capable of supporting additional monthly retail sales through increased marketing, inventory acquisition, and lead generation while leveraging existing personnel and facilities. 6. Expand Financing Relationships The dealership already maintains relationships with several national lenders. Additional lender approvals and finance products may further improve customer approval rates and increase retail opportunities.
Market:
Greater Houston, Texas