1800Radiator Wholesale Auto Parts Franchise
Asking Price: | $100,000 |
Gross Revenue: | $903,000 |
Rent: | $3,417/Month |
Established Year: | 2007 |
Cash Flow: | $111,000 |
Inventory: | $350,000 |
FF&E: | $12,000 |
Price Low At 1x Profit Plus Inventory
This franchise is a 1-800 Radiator & AC is a B2B automotive parts distribution network. This brand focuses on select product lines which allows them to have significantly greater availability for quick same day delivery. Proprietary stocking algorithms allow franchises to be in stock 90-95% of the time. This is compared to the competition's 20-30% levels. Having the part on hand and available for quick same-day delivery makes them the preferred vendor for the service shops. Same-day delivery is critical for these shops, they can see that their close rates are 3.5-4x higher when the part is available for same-day compared to next-day delivery.
1-800 Radiator & AC is the primary supplier for the product lines carried, by offering higher quality parts at a competitive price. Failure rates run at half the industry standard. Having higher quality parts available for same-day delivery at competitive prices helps keep customers loyal. In addition, new product lines are part of this network's growth strategy. Adding new product lines allows local franchisees to accelerate their growth by leveraging relationships with existing customers. When new product lines are introduced, it's a turnkey solution for the franchisee. Extensive market research and testing occurs well before they are introduced into network.
Franchisees of 1-800 Radiator & A/C enjoy the business model because B2B repeat customers allow for consistent revenue. This franchise also offers distinct competitive advantages which make the brand the industry leader in select product lines. They have a simple and proven business model. There are growth opportunities by adding new product lines and leveraging existing customers for accelerated growth. Franchisors proprietary software platform utilizes data and analytics in order to optimize business. They additionally offer a full support team to assist across all aspects of business in order to ensure success.