A7233673
Business for Sale Singapore - Car Leasing Business
A car leasing business in Singapore is up for sale. Here are some key points:
Financials:
Annual rental income: S$2 million (estimated)
Asking price: S$13 million
Seller financing available
Business details:
Owns 123 vehicles (mainly sedans and MPVs)
Market value of vehicles: S$11.8 million (estimated)
Located in the Central Area (Singapore)
Reason for sale: Owner is retiring
Potential benefits:
Established and profitable business with recurring income
Owns a fleet of vehicles, reducing the need for upfront investment
Seller financing available, potentially easing the financial burden
This could be an interesting opportunity for an investor looking to enter the car leasing market in Singapore.
Things to consider:
High asking price compared to annual income (S$13 million vs S$2 million)
Need to assess the overall condition and value of the vehicle fleet
Existing lease contracts and customer base need evaluation
Relocation costs if the premise is not ideal
By carefully considering these factors, you can determine if this car leasing business is a good fit for your investment goals.
However, it's crucial to conduct thorough due diligence before making a decision. This might involve:
Reviewing the business financials in detail
Inspecting the condition of the car fleet
Understanding existing lease contracts and customer base
Evaluating potential relocation costs
How Gold House M&A can Help
Gold House M&A can assist with the due diligence process for this car leasing business acquisition in several ways:
Financial Due Diligence:
Our team has experienced professionals who can analyze the business financials in detail. This would involve tasks like:
Scrutinizing past tax returns and financial statements
Verifying the accuracy of the claimed $2 million annual income
Identifying any potential liabilities or hidden costs
Fleet Inspection and Valuation:
Gold House M&A can help you connect with qualified professionals to conduct inspections.
We can assist in:
Arranging inspections of the 123 vehicles to assess their condition and value.
Comparing the estimated market value of $11.8 million to a professional appraisal.
Understanding Lease Contracts and Customer Base:
Reviewing existing lease contracts is crucial. Gold House M&A can help by:
Analyzing the terms of existing lease agreements for the vehicles.
Identifying any potential issues or renegotiation opportunities.
We can also assist in:
Evaluating the customer base, including lease durations and customer loyalty.
Relocation Cost Assessment:
While Gold House M&A might not directly handle relocations, our expertise can be valuable in:
Understanding the potential costs associated with relocating the business to a new premise, if necessary.
Negotiating lease terms for a new location, if applicable.
By leveraging our experience in buy-side advisory and due diligence, Gold House M&A can help you make informed decisions about this car leasing business opportunity. We can guide you through the complex process and ensure you have a clear picture of the business's financial health, fleet condition, contractual obligations, and potential relocation costs.
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