How to Sell Your Automotive Distribution Business—An Insider’s Perspective



I still left my initial stint in expenditure banking for the a lot less glamorous globe of automotive equipment distribution.

Going from satisfies and boardrooms to jeans and paint booth pits was rather a transition, but it helped me comprehend what far more and far more persons are acquiring out: the route to prosperity is often identified in owning a blue collar, provider-oriented business, and then finally offering that organization. But if you’re examining this, there is a very good likelihood you previously know that.


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In my case, the catalyst to depart expenditure banking was to sign up for my family’s 30-calendar year-aged automotive devices corporation subsequent a strategic buyer’s curiosity in buying the organization. I loved the idea of performing with my spouse and children, and it was a definitely fantastic expertise.


At the time, I felt my banking encounter would be useful in the profits course of action and I would like to working experience it firsthand, which is also how I bought back again into banking. But until that first acquisition interest, my spouse and children experienced not fully recognized how important our corporation would show up to outdoors potential buyers.


In actuality, it was these types of a area of interest enterprise that marketing had in no way turn into a significant discussion. Just after all, who would obtain a business enterprise in an sector that 99% of the place has under no circumstances believed about? Spoiler warn: There was a ton of desire from all types of potential buyers.


Distribution is in some cases missed as the essential cog it is in the automotive aftermarket ecosystem.


No matter if you offer coatings and parts, paint booths and frame devices, or alignment equipment and compressors, you’re important to the achievement of your buyers. They rely on you to assistance them make funds, plain and straightforward. Now, with significant degrees of consolidation among your customers—be they collision repair facilities, tire shops or vehicle dealerships—you are at a little bit of a crossroads oneself. As your clients get larger and much more refined, they assume you to…


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