Free Small Business Valustion Services
Get a Free Businness Valuation Consultation now! Free Business Valuation Calculator
Popular Biz Valuation Formulas:
All Categories

Site Directory



Bookmark and Share

Automotive Repair Shops/Service Center Business Valuation Formulas:

Auto Repair Businesses: This is a general business valuation formula for automotive repair businesses based on a percentage of annual gross revenues that can be used to help determine an approximate value and asking price to market an existing auto repair business for sale.

Automotive Repair Business Valuation Formula: Approximately 35 to 40% of annual gross sales + inventory

Broker Comments: As a small business broker in Arizona for 12 years I have found automotive service or repair shops can take a little longer to sell than other typical “Main St” businesses because finding a buyer with the right qualifications and skills (and adequate funds) to run a successful operation can sometimes be challenging. I have found that absentee (or semi-absentee) run auto repair shops with a strong manager in place are also easier to sell and generally support higher business valuations and asking prices. Another positive selling point is traditionally the auto repair business is considered very recession resistant.

Broker Tips: Don’t name your business after your self. Ex: “jerry’s auto repair”.  For a number of common sense reasons I have found it’s much easier to sell a business that’s not attached to the owner’s personal name
Need a business valuation or appraisal report for legal, personal, or selling purposes? Request a free & confidential preliminary business valuation consultation about your established auto service business here.