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auto manufacturing for Sale in Ohio

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Online Auto Performance & Modification Brand - Industry Leader photo
Auto Repair & Service Shops
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Online Auto Performance & Modification Brand - Industry Leader

OH, US

E-Commerce leader in the Automotive Performance and Modification Industry based in Ohio. This brand attracts car enthusiasts (all across North America & around the World) who are committed to upgrading the performance of their high end vehicles. The loyal client base and future customers come to rely on the specialty nature of the 300+ SKUs, many of which have been designed and perfected in house. This business began in 2018 & has experienced steady growth year over year now sitting as a leader in this market under the original founder and current owner. The business is 90% online sales and 10% service with a full time skilled technician who services vehicles shipped in from all over North America and remote tunes vehicles all over the world. The business has recently experienced 40% YOY growth. HIGHLIGHTS INCLUDE: *Diverse Supply Chain. *Minimal warehousing requirements. *Low working Capital. *50% repeat order rate. *Products are environmentally compliant. Products & Services offered include the sale of performance parts (i.e. downpipes, carbon fiber appearance products, intake products, HP Tuners, and turbochargers) as well as service and installation. Current inventory is approx. $379,000. Wholesale value of 300+ SKUS. Included with the purchase. The business has been recognized for being ahead of the curve in innovation. The proprietary technology solves a vehicle owners challenge of reducing emissions when utilizing high performance car parts. Average order is approx. $1,000. The ideal client is a car enthusiasts, primarily male with a high concentration of buyers ages 35-55.

$1,500,000
$1,522,621Revenue
$427,513Cash Flow

Market Snapshot

National transaction benchmarks for auto manufacturing businesses.

Under $500K

Median revenue$975k
Median cash flow$107k
Median sale price$250k
Multiple range1.5x - 3.0x

A variety of factors can cause businesses to trade outside this range, including earnings quality, operational transferability, key-person risk, growth trajectory, and geography, so a listing priced above or below the typical multiple usually reflects real differences in the underlying business.

What to know about auto manufacturing acquisitions

GW

By George Wellmer

Cofounder & CEO

Key diligence, valuation, financing, and transition considerations for buyers evaluating auto manufacturing acquisitions.

Customer and program concentration is the whole risk

Get revenue by customer and by program for at least three years. Specialty manufacturing at this scale often depends on a handful of OEM relationships or fleet contracts. One lost program can reset the business, which is exactly why the asking prices in this group range so widely. Concentration is the number that explains the multiple, so price it explicitly.

Backlog and contracts are worth more than a good trailing year

Value signed backlog over historical revenue. A builder with a contracted order book and renewing programs is fundamentally more valuable than one with the same trailing revenue earned from finished one-off jobs. Ask for the order backlog as of the diligence date and the contract terms.

Equipment, tooling, and certifications carry real value

Inventory the tooling and certifications, and verify they transfer. Specialized jigs, molds, machinery, and quality or regulatory certifications can represent a large share of value and a barrier to entry. About 17 percent of these businesses own their real estate.

Engineering and skilled-trade talent are scarce and central

Identify the key engineers and fabricators and plan to keep them. These businesses run on specialized skills that are hard to hire, and the knowledge often sits with a few people. Around a quarter of these sellers offer financing, which gives you room to structure a transition that retains critical staff.

Working capital and build cycles tie up cash

Model the cash locked in long build cycles and progress billing. Custom builds can run months, with materials and labor funded well ahead of final payment. Understand the billing milestones, deposit structure, and work-in-process so you can size the working capital you must bring.

Regulatory and liability exposure varies sharply by sub-segment

Match your diligence to the specific product. Aircraft and marine work carry certification and liability regimes that automotive customization does not. Confirm the relevant approvals, insurance history, and any open claims for the exact sub-segment you are buying.

Frequently Asked Questions

Answers to common buyer questions for this market.

Request revenue by customer and by program for three years and calculate what share the top one, three, and five accounts represent. A business that earns most of its revenue from one OEM or fleet contract is a different and riskier purchase. Then ask what is contracted going forward versus what simply repeated historically.