Self Drive Motor Vehicle Hire Company For Sale

Business description

Self Drive Motor Vehicle Hire Company
Cars, Vans, MPVs, Specialist Vehicles

This highly profitable and reputable business was set up by the current owner some 10 years ago and in that time has positioned itself as the leading vehicle hire company in the town it serves, and beyond. The company has one of the widest selection of vehicles for customers to choose from be it for commerical or domestic use and a deep and varied client base to suit. All vehicles in the fleet are modern, clean and have limited mileage. In fact nearly all such vehicles are less that 12 months old. This gives the business a real edge in the market and this is packaged with extremely competitive rates.

The current fleet size is circa 100 vehicles of varying classification. They are all leased and the vendor is happy to offer them to a new owner or dispose of himself.

Approximately 65% of turnover comes from the general public with the remaining 35% being commercial clients. Clients include the local council . The business is also a United licensee (Six Kenning who are the largest supplier of rental vehicles in the UK) and has ongoing licenses which they own outright for 8 unique post codes within the town. This ensures high levels of repeat business and profitability throughout the year.

Equipment:

The business has developed its own unique management information package, ProHire, which enables the business to be run smoothly and efficiently. It also utilises Sage Line 50 accounting software which is fully interactive with the ProHire platform.

Customer Service:

This business is a fully accredited member of The British Vehicle Rental Leasing Association (BVRLA). The BVRLA is the trade association for the vehicle rental and leasing industry in the UK. As such it regulates a majority of the industry through a mandatory Code of Conduct and by regular inspections of Members, vehicles and premises. As part of this membership this company has its own stringent internal procedures that ensure customer service is at the forefront of the business ethos. This is demonstrated through the high levels of repeat business and referrals the business enjoys.

Key Strengths:

• The business has a superb supply agreement with United Rental Systems
• Size, condition and diversity of fleet
• 8 ongoing unique postcode licenses for the town(each worth circa £10,000)
• Competitive rates
• Customer base
• Brand and Reputation
• Location and premises
• Hire from 21years +

Financial Information:

The business is being offered for sale on a going concern basis, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.

The business has enjoyed growth year on year and turnover for the last financial year was circa £462,000 with an impressive net profit of circa £82,000. The business has all the infrastructure in place to enjoy sustained growth.

Property information

Property:

Leasehold

Lease terms:

Rent would be circa £2000/month. The site is circa ½ acre in total.

Location:

The business is situated on leasehold premises. It is advised a new lease would be made available to a new owner if required subject to negotiation. Rent would be circa £2000/month. The site is circa ½ acre in total. There are two modern equipped office buildings (circa 1400 square feet). The compound itself has full perimeter fencing and gated access. It is close to local amenities in the town.

Other information

Expansion potential:

The business has enjoyed good growth year on year in terms of turnover, customers, profits and fleet. The rental/lease market is huge and is expected to continue growing in the short to medium term. This business has the market presence, knowledge and infrastructure to accommodate a significant increase in demand.

Competition / Market:

The company advertises in all the local directories and local papers. I also has its own website. It does little in the way of direct mail and would benefit from further development of its client database and a proactive sales and marketing strategy to maximise the opportunities at its disposal.

Support & training:

The current owner would be happy to provide full training and support at handover and would be prepared to stay on for a further period if required subject to negotiation.

Reasons for selling:

The vendor wishes to spend more time with his young family . He also has several other business interests he wishes to develop further.

Trading hours:

Monday – Saturday: 0800-1800 Sunday: 0900-1200 (Only just recently)