Heavy Construction Equipment Sales For Sale

Business description

Our client is the owner and provider of popular commercial-grade construction machinery for contractors, landscapers and homeowners. The business is complete with a huge assortment of the full-line of construction machines including excavators, and other equipment. For more than seven years, the business has carried a huge selection of popular equipment pieces, and maintains a full selection of replacement consumable parts for use with them; the business also rents the equipment. It has been a reliable business for the local community, and enjoys very little competition from surrounding communities.

Property information

Real Estate:

Lease

Lease terms:

The business is situated in a leased building of 3,000 sq. ft. encompassing an office and storage/repair space on two adjoining lots measuring approximately 12,000 sq. ft. in size. There are two landlords; one for the first lot and building, the second landlord owns the additional lot. Collective rents total approximately $8,000 per month.

Other information

Expansion potential:

The business is an excellent investment opportunity; however, it could potentially be significantly more rewarding if a new owner merges this business with one that has its own yard, shop, parts counter and administration staff. According to the owners of this business, an effective way to instantly generate higher cash flow is to combine this business with an existing business somewhere in Westchester or Putnam County, NY. Overhead could be reduced by approximately $150,000, and service and parts departmental expenses could be reduced by $150,000. Conservatively, an additional estimated $250,000 in EBITDA could be generated by the synergistic buyer who takes advantage of economies of scale. This increase would bring the annual EBITDA to over $750,000.

Competition / Market:

The business markets its customers through various methods. Through a national campaign, the corporate entity advertises its products via the internet and direct mail advertising. With corporate maintaining the website for all of its locations, the image is consistent and accurate all over the country.

Support & training:

The owner is willing to assist a buyer of the business for a period to provide for adequate business knowledge transfer to them and provide comfort in the day-to-day running and operations of the business. Corporate is very supportive of its location owners, and are willing to assist to insure success with their operation.

Contact the seller