|Good Afternoon Perry, Market UPDATE:I have had people asking me how the commercial and business market place is doing. It seems that things are thriving. I have lots of buyers looking for investment opportunities and there are some decent purchase opportunities available. Also the banks seem to still be willing to lend and I have heard that mortgage rates are dropping slightly in some cases. I have several meetings with commercial bankers in the next week and will have even more insight shortly. Economic Rumors: Apparently more than a rumor, as I mentioned 2 weeks ago there was to be a major announcement of economic significance in Prince George, well a 62M Hydrogen plant and filling station has been approved.Here is a link to some more information. https://biv.com/article/2023/03/hydra-energys-62m-hydrogen-production-plant-approved-prince-george Also we have been told by clients that there already has been a number of trucking fleets that have signed up for conversion to hydrogen if the plant moves forward. |
It seems to be Car Wash Season out in the marketplace and with the snow melting here in the north. In the past week I was able to show a carwash in Vanderhoof a couple times and got some insight into that business model. What I Know about Car Washes: I know that people like my wife, love washing their cars and are willing to pay good money to keep them clean regularly. Secondly, I learned that there are many companies that like to keep their fleets clean and set up accounts. Cash is King: While I am not sure in the present cases, but something I learned many years ago from a friend that had a car wash is that there is a cash component that is not always showing on the financial statements.
That being said there are two car washes for sale in Northern BC that I know of. #1 Within an hour of PG there is a car and truck wash that seems to be turning $250-290k free cash after amortization, and interest are added back in. Asking price $1.7 M. Includes Land and Building. What I like about this one is that it comes with a vacant piece of land that is on a busy corner with a traffic light. This could possibly be subdivided and either sold off or leased out or built on. Also I noticed that the current owners have some ideas on how to increase sales within the business. Downside: One of The owners works in the business and while there is staff that would stay, it does need management as well as a hot water heating upgrade.
#2 is a Carwash and Bottle Depot in Valemount priced at $899k The realtor called me and told me that the owners are taking out between $220-$240K per year including their wages. I like that it includes land and buildings. What I don’t like is that the owners run the business and that the pipeline is almost finished leaving a probable revenue drop in coming years. Some NEW OPPORTUNITIES that have been brought to my attention that you might consider:
Subdivision in PG – A piece of property that has a plan for 10 lots.Asking $350k – $35k per lot. Service costs are budgeted at $30k per lot. Within City limits. 26000sq Ft Building in Terrace in a Prime Location with great Tenants. Asking $3M. Turns about $185K free cash based on Realtor estimates. Mall in Fraser Lake – $1M $28/sq foot purchase cost. Hot New Business for Sale: Summit Power Tools. Looks like this business is turning some decent cash with an asking price of 1.1M – Email me if you want to sign an NDA. Up The Creek: Last newsletter this was just coming on the market. Business and Building this business is listed at $4M which I believe is high. Let me know if you would like more information and would be willing to sign the NDA Gold Mine Anyone? How about a goldmine in the caribou with equipment that is pulling out roughly 1-2 ounces in 125 yard average. Includes 2 lots and a cabin. Seasonal business from April to October includes all permits.
Do Any of these Interest You? Email me if you would like more information on any of these and I would be happy to discuss my thoughts on them. email@example.com or phone 250-617-7467 Looking for Something Different? I will find it for you!! Email me at firstname.lastname@example.org or phone 250-617-7467 Do You Know Someone That Wants to Sell Their Business? Also I have Qualified buyers looking for businesses and investment properties. Here are some of the things we are searching for our clients. Profitable business with multiple revenue streams earning over $200k per yearStorage Unit businessTrucking or logistics companyMulti Unit Residential properties. A mechanic shop in Prince George that is not making money but has staff.A Business where the owner wants to leave but needs a manger to come in and take over. That is all I have for you this week.
Let me know if you have any questions on any of the properties or are looking for something specific.
Please feel free to pass this on to other people you know who are looking for investment opportunities. Need to unsubscribe, we will miss you but the link is at the bottom of the page. Have a great couple of weeks Dave Fuller, MBA
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