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Turnkey Tire And Auto Repair Shop For Sale

Monmouth County, New Jersey, US
Asking Price:
$600,000 (USD)
Sales Revenue:
$1,345,714 (USD)
Cash Flow:
$248,405 (USD)

More than 5 decades ago, the current owner’s grandfather opened the auto shop with the goal of providing excellent, honest service to customers at a fair price. This business model has proven to withstand the test of time, with the business being passed down two more generations. Growing up around the shop, the current owner has become not only an expert in car mechanics but has been able to pass his wealth of knowledge to his five mechanics. His employees have a combined 50+ years of experience and have been instrumental in the continued success of the business.
While the technology and automotive industry has changed, the fundamentals of the shop’s business model have not. The owners pride themselves on their dedication to their customers and honesty. This model allowed them to amass a large, loyal customer base in an area that continues to grow in population.
The shop has now grown into a well-oiled machine itself. It grossed an average of over $1.3M in annual revenue over the last three years, with a solid cash flow to the owner. It has a strong customer base and a personalized approach to customer service with a team of 5 mechanics in addition to the owner and his son. The shop was able to withstand the pandemic far better than its competitors. With a customer retention rate of nearly 90%, the shop turned a strong profit despite the pandemic’s economic headwinds.
After an extensive run in the automotive repair industry and family business, the current owner is looking to call it a day. He’s in search of an interested buyer to buy up the shop. It’s important to him that the buyer has strong ethics, is an honest person, and provides quality service. The current owner and his family own the property and would structure a long-term lease with the new owner.

Property Information

Real Estate:

Real Property Included


The shop is in Monmouth County, New Jersey along a major highway that runs through the state. The shop has an outstanding location that is accessible from the Northbound or Southbound lanes of the interstate, placing it in one of the highest traffic areas of the region.

Premises Details:

The facility includes 5,000 square feet of shop space, 80 square feet of office space, and a 600 square foot customer waiting room. The shop is adjacent to a large parking lot for customers. The property itself, inclusive of the shop and surrounding parking lot, is .81 acres, or 35,284 square feet.

The current owner and his family own the property and will structure a $12,000 / month triple-net lease with the new owner. The SDE numbers in the “Financial Overview” above reflect the recasting adjustment from the current rent paid to the market rent ($12k/month).

Size in square feet:

Business Operation

Expansion Potential:

There are several opportunities to grow the business. First, a buyer could invest in outside sales to drive more commercial fleet work to the business. Second, there are several marketing channels like paid search rather than the CRM marketing that is mainly being used. The shop is currently only open Monday-Saturday, the new owner could attract more business on Sundays.
Currently, emissions repair jobs are a big profit maker for the shop. The new owner could invest in an emissions testing machine (normally an $80k investment) and become a state certified inspection and repair shop. While the upfront cost is large, the margins on emissions testing and certification are extremely high and there is also the potential to diagnose defects and repair them on the spot. The shop is a AAA Certified Repair shop, meaning that AAA drivers will bring vehicles to the shop. This is especially lucrative given the business’ location on a major highway.

Competition / Market:

The one threat area is universal with auto shops: reputation makes or breaks the business. The new owner will need to be very proactive in maintaining the standards set by the current owner as it relates to customer service and attention to detail. Being relaxed on these fronts would set up the business for poor online reviews and make continuing the current owner’s success a difficult task.
In the local market, there are other large national auto repair franchises. Customers choose the shop because the mechanics are trained to service a wider variety of cars and because the shop has a fantastic reputation for high-quality work and honest prices.

Reasons for selling:


Years established:

Other Information

Support & training:

The owner will stay on for up to 3 months to train the new owner.

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