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Auto Repair Industry Report

46 Page Auto Industry Report Below

Operators in the Auto Mechanics industry provide mechanical and electrical repair and maintenance for a variety of vehicles, including cars, trucks, vans and trailers.

Over the five years to 2020, the industry largely experienced healthy growth. The number of vehicles on the road expanded, along with the average age of the vehicle fleet. As a result, demand from consumers and businesses rose. Additionally, per capita disposable income levels grew during much of the period, enabling more consumers to forego do-it-yourself repairs and enlist industry operators to complete the necessary repairs and maintenance for their vehicles. However, over the five years to 2020, industry revenue is expected to decrease an annualized 0.7% to $63.1 billion due to an estimated decline of 9.4% in 2020 alone.

The stark decline expected in 2020 is due to the emergence and consequences of COVID-19 (coronavirus). Amid the pandemic, operators contended with nonessential business closures, resulting in periods of virtually no revenue generated for some and declines in demand, as consumers significantly reduced travel and discretionary spending. Moreover, while some services offered by industry operators are essential to the safe operation of a vehicle, others are put off during periods of economic uncertainty. Thus, as the unemployment rate spikes and consumer confidence plummets, even operators able to keep their establishments open are expected to experience a drastic decline in demand. Finally, as consumers and businesses forego unnecessary services, which generally command higher returns, industry profit is expected to decline in 2020.

Over the five years to 2025, the industry is anticipated to gradually recover from late-period setbacks experienced amid the coronavirus pandemic in 2020 and experience steadier growth. The short-term outlook for the industry remains uncertain, as the duration and lasting effects of the coronavirus remain to be seen. However, nonessential business closures and coronavirus-related regulations are projected to continue easing as the health crisis passes, and operators are expected to return to business as normal, relatively. Moreover, while consumer uncertainty is forecast to persist early in the period, consumers are forecast to release pent-up demand for industry services later in the period as economic conditions improve. As a result, over the five years to 2025, industry revenue is forecast to increase an annualized 3.3% to $74.0 billion.

What do the Shark's say about a business valuation

46 Page Auto Industry Report Below

Knowing the value of your business at any stage of business development is critical to the most successful businesses.

 90% of owners do not know the fair market value of their Business.

 

 

 

 

Call today and be one of 10% That knows there true value on their Company

Contact us for a complimentary question and answer session

707-400-5060

Owners that have an accurate understanding of the value of their company are able to plan and make decisions on reality versus using misunderstood revenue and profit multiples. We have learned that business owners with credible information to substantiate value were able to plan for their business exit as well as have a useful tool in their negotiations.

Find out the true market value of your business

We can help market and sell your Business 

 Contact us for a complimentary question and answer session

 

Other Services

 

Business brokering

We have low fees and the best terms. We have assisted a long list of buyers and sellers in the buying and selling process. We first typically estimate the value of the business, then advertise it for sale without disclosing its identity. We handle the initial potential buyer interviews, discussions and negotiations with prospective buyers, then facilitate the progress of the due diligence investigation and generally assist with the business sale.

 

Business management

We partner with Business Suite 360 to enhance small businesses with optimal management and customer service.

 

CFO services

We push your business to the next level and the level after that. Experienced CFOs don't come cheap, a big financial commitment for a small and growing company. You'll gain all the expertise you need and avoid the search and training time needed to bring on that one perfect CFO for your business. CFO's go beyond what accountants and controllers do. Reporting, accountability, arming you with financial and operational insights, strategy, raising capital, budget and financial projections, board meeting preparations and managing investor relations are some of the roles the CFO will take on. The role of the CFO has evolved to be an advisor and a strategic partner to the business owner or CEO.

 

Tax planning

In selling a business your exposure is a 40% estate tax, a 35% ordinary tax rate and/or a 15% long-term capital gain. We can reduce your exposure substantially. Selling a business can entail selling several types of assets, including business equipment and supplies, pending client transactions, real property and investment assets. Business owners must legally dissolve or close their businesses according to their state's laws and with the Internal Revenue Service. Closing a business requires careful tax planning to avoid unpaid federal business taxes.

 

Accounting services

We feel we have a fiduciary responsibility to our clients. Many times, we find that the accountant for our clients may not have the expertise needed for the business. We can help. Internal staff and business partners step in to correct and professionally maintain your books. Organization and financial insight give your company the edge.

 

Board of Director oversight

Boards are expected to provide strategic guidance, help shape culture and hold business management accountable for improving performance.  Critical to the success of the CEO and the organization is a board of directors with the competencies and intellectual capital to address the toughest strategic and operational challenges. We work directly with the board and senior management to help facilitate implementation of specific improvement measures that we or others develop. We have decades of experience in corporate oversight, building companies exponentially.

 

Rebate analysis

Dozens of potential rebates can be available to your company. We provide an analysis of the potential rebates available to your company, lowering costs or increasing revenues.

 

Turn-around services

We have decades of business turn-around services. No upfront cost to you. Our fees are based on performance. Our turn-around services include very quickly understanding your business model and all of its components, recognizing both financial and operational trouble spots and restructuring the business. We grow businesses to be solid and top performing.

 

Minority business setup and reporting

Corporations, the federal government, and state agencies all want to do business with minority-owned companies. Contracting with minority-owned businesses is important to customers, and it's responsible. Having a minority-owned business certification can help you tap into a bevy of public and private sector programs. Having a minority-based business certification can be a real asset. To achieve certification, at least 51 percent of the business or the company's stock must be owned by minority individuals, and the management and operations must also be controlled by such individuals.

 

Search engine marketing

Search engine marketing is any strategy that helps increase your company’s visibility in search engines like Google. Just because you make a website and add pages to it every so often doesn’t mean that you’ll appear in search results when someone searches for your products or services. You have to optimize your site to rank well, and keep up with search trends to make sure your target audience finds you before your competitors. SEO and PPC are the two main strategies to increase website visibility. For over 20 years, we have been driving web traffic to company websites.

 Business Valuations Appraisals TM | Subsidiary of MBV