Profitable Scrapyard For Automotive Spares

This established business has a client database of over 1000 clients, the business strips vehicles for second hand spares and stocks components for older model vehicles. The business is a wonderful opportunity for a person with automotive experience to expand on its already large foot trade. Being owner run the business has low overheads and does substantial cash business. A possible opportunity that can be extended is the property which could optionally be purchased for R2,400 000.00.

The business also has a used car lot, which could be expanded.

Rental – R12000.00 (Rates, Water & Lights Included)

Salaries – R14000.00

Other Expenses R3000.00 to R5000.00

Average Turn Over – R120,000.00 P/Month

Owner Income – R40,000.00 (Between 2 partners)

Net Profit – R25,000.00

Stock Value – R1,200 000.00

Selling Price – R750 000,00 (Including Stock)

Reason for Sale – Dissolution of Partnership.

Opportunities – The business is owned in a partnership and has both owners working in the yard. It has a strong room for the more valuable stocks & electrical components.

Possible growth suggestions would include increased advertising & marketing as well as new signage and an online footprint.