Concepts for SourceCo
Concept by Jace Galloway · not affiliated with SourceCoWhy this exists ▾
Why
Two of your auto articles link to /tire-shop-valuation, which doesn't exist yet. This is that page.
How
One template builds all six missing auto pages from a data file. The valuation runs on the server and follows your tire article's method.
Try
Run the calculator. The number shows right away, then a call, a text or a report.
Note
Valuations are illustrative.

Tire shop valuation

What is your tire shop actually worth?

An estimate in two minutes, built the way buyers value tire shops. No sign-up, and you see the number right away.

  1. 1
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Filled in with a sample shop. Change anything.

What earns most of your gross profit?
How many locations?
Who runs the shop day to day?

This decides whether buyers look at SDE or EBITDA.

How it works

How buyers value a tire shop

01

Earnings, not revenue

Owner-run shops are valued on SDE. Shops with a manager running them are valued on EBITDA.

02

The service bay, not the tire rack

Buyers pay for service labor that keeps coming after you leave. Tire margin is thin.

03

Inventory settles at close

It isn't in the multiple. Buyers count it at close and adjust for aged stock.

Who buys

Different buyers, different multiples.

  • PE platform57×
  • National46×
  • Regional MSO3.55×
  • Local buyer24×
  • Management buyout1.53×

Multiple of earnings by buyer type, as published on SourceCo's auto valuation page.

Before a buyer checks

Have these ready.

  • Add-backs. One page listing each add-back, with documentation.

  • Inventory. A dated list by SKU. Flag anything older than 12 months.

  • Supplier programs. Current agreements, and whether they transfer to a new owner.

  • Lease. Renewal options, and confirmation the lease can be assigned.

Read the full guide on sourcecodeals.com →