London MoT & Repairs Garage Established 30 Years Reduced For Sale

Business description

The vendor informs us that the freehold is available to purchase if required.

The vendor will consider staged payments if business is purchased as a leasehold.

Advent Business Sales is pleased to have been instructed to offer to the market this extremely popular and profitable MOT and bodywork garage.

Founded by our client over 30 years ago, the business is only now being offered for sale due to his ill health.

Whilst specialising in body work repairs, the garage also carried out class IV MOTs, mechanical repairs and servicing for any make or model.

The business offers a start to finish service, where they will recover a damaged car, provide a courtesy car, carry out the repair and return the car fully cleaned.

Our client has reaped the rewards of his considerable efforts in securing high levels of insurance work, which now accounts for the bulk of turnover.

The business is managed by our client with the assistance of 8 full time employees, one of whom is a full time MOT tester. It can also call upon various part time staff who are employed on an as and when required basis.

In the last financial year to 31st March 2008, they achieved annual sales of £573,558 with a gross margin of £172,311.

The vendor is prepared to work with a new owner for a short period of time to effect the required introductions to staff and clients.

The premises are fully equipped for purpose including:
• 1 x 4 post ramp
• 3 x 2 post ramps
• 2 jigs
• Class IV MOT bay
• 2 compressors
• Diagnostic equipment
• Purpose built spray bake booth and oven with extraction system
• Computerised paint mixing room
• Testing equipment

We are advised that stock and work in progress amounts to approximately £20,000 at any one time.

The price has been reduced considerably as the vendors which to sell very quickly
REF: 9330E

Property information

Property:

Leasehold

Lease terms:

TENURE: Leasehold
Original lease: 12 years
Remaining lease: 12 years
Review every: 3 years
Rent: £60,000

We are advised that the annual business rates are currently: £11,500

Location:

The business is ideally located on a busy arterial road with excellent access to major transport links in a densely populated mixed residential and commercial area of East London.

The business has a private forecourt area which can hold approx 10 cars with additional free of charge on street parking available all around the premises. At night approx 50 cars can be parked inside the spacious premises.

Premises details:

Extremely well fitted throughout, giving easy access via full height roller shutter doors, the premises comprise 3 units which extend to approx 6,800 sq ft plus 3 arches which is approx 4,000 sq ft in total.

Units 5 and 6 link together to form a large workshop with mezzanine housing a staff canteen/restroom and 2 w/c’s washroom.

Unit 3 also has a mezzanine which has a general office area with cloakroom/wc facilities.
The premises also benefits from being fully alarmed and having gas heating

Business Operation

Expansion potential:

Whilst already clearly a successful business, there is still excellent potential to increase sales and profits further by:
1. Buying in damaged cars to repair and sell on
2. Having their own web site
3. Carrying out mail shots and advertising in the local area to encourage more mechanical repairs/servicing, which has a higher hourly charge out rate
4. Expand into another nearby unit which is vacant
5. The business could be an ideal ‘bolt on’ for a larger organisation wanting an efficient base in the area

Trading hours:

Mon-Fri: 8.00am – 6.00pm
Sat: 8.00am – 1.00pm

Employees:

The business is managed by our client with the assistance of 8 full time employees, one of whom is a full time MOT tester. It can also call upon various part time staff who are employed on an as and when required basis.

Other information

Related documents:

• 
• Sales Particulars