Key Aftermarket Players Share their Outlook for 2011…
Malvern, PA…January 12, 2011…Art Blumenthal LLC, providing brokerage and advisory services to aftermarket businesses of all sizes, reports improved market conditions for prospective sellers of tire and service enterprises to capitalize on the increase in the numbers of buyers seeking new or expansion business opportunities.
Mr. Blumenthal noted, “As 2011 kicks off, economic condition forecasts and renewed dealer optimism are fueling growth activities among expansion minded organizations looking to leverage their economies of scale and team resources.” As examples of this trend, several key aftermarket players agreed to share their opinions and reference their planned initiatives:
Mike Holmes, Vice President of Virginia Tire & Auto, an 11-location Goodyear, Bridgestone and Shell dealer headquartered in Fairfax, VA said, “Virginia Tire & Auto has an excellent team and we are seeking acquisitions to provide additional opportunities for our people. Our business model allows our team to focus on providing top notch service, and we would like to leverage that model by expanding our footprint in 2011. We are cautiously optimistic for the economy in 2011. Nevertheless, we are focused on continuing to improve our business regardless of the economic climate.”
Larry Griffin, Jr. of Griffin Brothers Companies, a family-owned, full-service tire and automotive center serving the Charlotte, NC area since 1961 and currently operating seven locations with an eighth about to open said, “We are optimistic about 2011. 2010 was a good year, much better than 2009. My main concerns in 2011 are tire price increases, supply issues, and the rising price of gas. We are in the early stages of building a new store this year that will open this summer.”
Leveraging over thirty years of experience as both an aftermarket business owner and technology executive to become an aftermarket-specific business broker, Art Blumenthal is carefully monitoring business climate trends and gauging attitudes of those who are making aftermarket investments. He said, “A new spirit of optimism became quite noticeable as 2010 wound down, buoyed by multiple factors such as enhanced revenue and profitability projections conducive to aftermarket business ownership. One of the key changes has been the shift in the ratio of buyers to sellers, especially among successful independent Goodyear dealers who have contacted me. I am now actively working with many more individual entrepreneurs and corporate buyers seeking new business opportunities and expansion and matching them with sellers such as those looking for a retirement exit strategy.”
He continued, “Buyer interest level is particularly high for nationwide and regional tire and service chains with strong brands and capital resources. The 3.5% industry growth prediction published by the Automotive Aftermarket Industry Association aims a bright spotlight on the aftermarket at a time when other industries cannot forecast gains.”
Joseph Tomarchio, Executive Vice President of Store Operations for Monro / Mr. Tire, a chain of 788 stores said, “Monro has doubled in size in the last seven years and our goal is to double again in the next five years, becoming a billion dollar company. Our preference is to acquire multi-location chains in our 19-state footprint, but we will also consider smaller organizations if they fit in our geographic markets. Our 2011 economic outlook is a positive one, with more vehicle owners electing to retain and maintain their older cars longer while service bay numbers decline and less auto dealership service departments are available.”
The aftermarket-specific “Be Your Own Boss” campaign created by Art Blumenthal LLC, providing financial incentives for new shop owners, continues to generate high interest as the initial step in a completely confidential process for turning dreams into reality. The desire for financial freedom and improved lifestyle is driving many younger buyers to seek attractively priced single location opportunities, both franchise and independent. More details of the program and a listing of over 200 aftermarket business opportunities can be found at www.art-blumenthal.com
About Art Blumenthal LLC
Established in 2010 and leveraging over thirty years of experience as both an aftermarket business owner and aftermarket technology executive, Art Blumenthal LLC provides business intermediary and advisory services to both buyers and sellers of industry businesses of all sizes.
Mr. Blumenthal is a member of the International Business Brokers Association (IBBA), representing a network affiliation of 2,000 business brokers in all 50 states, which leverages and strengthens nationwide reach. He is a Certified Business Intermediary (CBI), having completed IBBA’s rigorous educational, testing, and experience requirements to become accredited.
For more information…or to initiate a no-obligation confidential consultation…please visit www.art-blumenthal.com
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