Detail shop vaule

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STPETEDALE

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Has anyone purchased or sold an up and running detail shop here? If so, how did you guesstimate the value?What percentage amount did you actually receive or pay of asking price? I've been told x amount x net. If that is the case my mobile business would be worth a boatload. For example, a shop generating gross$125/150k per year with very detailed records for the last 6 years. Net would be most likley around 75k. No real estate, equipment, etc is included in sale . It's mainly an excellent location with grandfathered zoning. Any thoughts would be very appreciatedFeed back please
 
Nobody's sold or purchased an up and running shop? Maybe a mobile set up.I'm thinking 2 to 3 months net would be a real world number??
 
Your probably better off starting from scratch. You have to ask yourself why someone would sell a successful and prosperous business. Big chance to take. You may also be purchasing a bad reputation and would have to work twice as hard to pull said business back into the black.
 
They may run the biz into the ground and looking to unload,you never know what you be setting yourself up for? Build your own up,your customers your rep,you have compete controll of your fate. I always had the desire to be my own boss,but never the nerve to go through with it. Good luck my friend wish you all the best in your pursuit.
 
FWIW, according to Dave Ramsey, one way to value a business is 4 or 5 times net profit. So in your example, $300,000 -$375,000.
 
Based on Dave Ramsey #s there are alot of millionaires on this fourm that don't even know it. I'm gonna stick to my guns and say a few months of gross seems fair. It would be cheaper to start from scratch but a premo location can make all the difference. It's nice to have a feeder business next door and backed up to an upscale area.I guess I'll see how it pans out . Thx for input!
 
It don't hurt to start low! It'll only help you. If you can make all your money back in a few months, so much the better.
 
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