Tupelo Data Room
Auto Repair & Service Shops, Towing Companies
Active

Longtime Profitable Towing Company For Sale

Arkansas, United States
listing image
Asking Price$2,400,000
Revenue$1,509,780
EBITDA$362,341
Cash Flow$362,341
Description
FINANCIAL PERFORMANCE OVERVIEW This established towing and recovery operation demonstrates strong financial fundamentals with a 3-year average revenue of $1.6 million and cash flow exceeding $300,000 annually, representing an 18.75% cash flow margin. The business has maintained consistent profitability over multiple years, indicating stable market positioning and operational efficiency. OPERATIONAL METRICS & ASSET VALUATION Total enterprise value breakdown: • Real estate assets: $805,000 (professionally appraised) • Fleet assets: $495,000 (light, mid, and heavy-duty trucks) • Equipment value: $64,500 • Total asking price: $2,400,000 Asset-to-revenue ratio of 1.5x demonstrates efficient capital utilization. The diversified fleet composition enables multiple revenue streams and reduces customer concentration risk. MARKET POSITION & REVENUE DIVERSIFICATION The company serves a broad customer base including municipal contracts, providing revenue stability and reducing dependency on single client relationships. This diversification strategy has contributed to sustained cash flow performance over the evaluation period. INDUSTRY GROWTH INDICATORS State and national statistics confirm the towing industry's expansion trajectory, supporting long-term revenue growth potential. The company's decades-long operational history provides competitive advantages including established customer relationships, proven service delivery capabilities, and market reputation. OPERATIONAL INFRASTRUCTURE Turn-key operation includes: • Experienced management team with longtime General Manager • Qualified driver workforce • Well-maintained fleet in excellent condition • Established operational procedures The business structure supports immediate operational continuity for acquiring parties, whether industry operators, private equity groups, or individual investors seeking established cash-generating assets. DUE DILIGENCE READY Financial documentation available for qualified buyers including multi-year revenue history, cash flow statements, and asset valuations supporting the asking price of $2,400,000.
Real Estate
$805kIncluded in Asking Price
Building Size: 11094 sq. ft.
Furniture Fixtures & Equipment
$560k
Business is
Absentee Owner
Number of EmployeesFull-Time: 11
Year Established
1976
Reason Selling
Divestiture & pursue other business.
Facilities & Assets
The business operates on 2.55 acres of land in an industrial building with 10,024 +/- square feet, including an office containing 3,168 +/- square feet. They have a gated impound yard. The real estate is appraised at $805,000. The business also comes with a state-of-the-fleet of trucks - which include a mid-duty and heavy duty truck. Trucks are valued at a FMV of $495,000. Office equipment is estimated at a FMV of $64,500.
Support & Training
Seller agrees to facilitate a transition for a new buyer to be negotiated. General Manager will stay in place.
Market & Competition
Industry Analysis Total Market Size: * 2024 total revenue ~$12.8 billion, up YOY $11.2 billion * 2019 - 2024 = 8.1% to 8.9% annual industry growth rate. * Projected CAGR of 3.6% to 5.5% through 2030 Location Demographics * Metropolitan area with over 1 million residents * Region likely accounts for around 30-35% of state towing revenue, or about $43-51 million annually
Growth Opportunities
1. Heavy Duty Towing: The company currently has a heavy truck but is not utilizing it. 2. Focused Marketing Efforts: A more concentrated marketing effort would open up more hauling opportunities for the company.
Financing Options
Seller financing is available.SBA 7(a) and Seller Financing Available
Related Categories
auto repair shop for Sale
towing company for Sale
Business for Sale in Arkansas
Asking Price$2,400,000