Active
Tool and Equipment Rental, Sales, and Service
This business is a prominent player in the Tool & Equipment Rental industry, recognized for its robust rental services, retail sales and equipment servicing. With approximately 50% of its revenues derived from rentals and 42% from retail sales, the company established itself as a reliable provider of high- quality equipment to a diverse range of customers, including commercial entities, homeowners and municipalities. The company maintains a strong gross profit margin of 55% on average over the past three years, reflecting its operational efficiency and pricing strategy.
The business caters to a wide customer base, with around 65% of its revenue generated from commercial clients and 35% from homeowners. The company services their own as well as their customers equipment, which sets it apart from competitors and underscores its commitment to customer satisfaction and long-term client relationships.
Included in the sales price is rental equipment of approximately $1.8M and shop equipment of aprox. $65K. . There is an additional $1.3M cost value of new retail equipment for resale.
Ad#:2286044
Listed By: Steve Barnett
Background information
Reference:
VBB132
Year established:
1985
Reason selling:
After almost 40 years the owner is looking to retire.
Finance
Sales:
$1,473,000
Profits:
$325,000
Profit type:
Discretionary Earnings
Operations
Employees:
5
Equipment:
Included in asking price $65,000 of shop equipment and aprox. $1.8M of rental equipment
Inventory:
Not included in asking price
Furniture fixtures and equipment:
Heavy Rental Equipment $546k; Minor Rental Equip. $1.3M; Retail Equip. $1.3M
Premises
Facility:
The building and property are available for sale along with the business. The business operates out of a 7,000 sq. ft. tilt up sitting on close to a 1 acre parcel of land.
Location:
Riverside County, CA
Opportunities
Growth:
The business can grow by extending their limited weekend hours; investing in additional and more sophisticated heavy equipment; and extend out their equipment delivery.
Price and terms
Price:
$1,600,000
Training:
The owner will train the new buyer for up to 25 hours per week and for up to 6 weeks to assist with a smooth transition.