Evaluating your business matters because it provides you with a clear objective picture and a deep understanding of its current and future potential worth. A proper evaluation goes beyond identifying value and enables you to understand your dealership’s overall health, potential and future opportunities.

5 Top Reasons Why You Need to Know the Value of Your Dealership

1. If you’re considering selling, having the right insights is key to making confident, informed decisions.
2. A proper evaluation ensures you are not leaving money on the table.
3. When acquiring a dealership, you’ll gain confidence by understanding its true value.
4. An accurate evaluation is essential to any well-structured estate plan.
5. Understanding value allocation is vital for success in partnerships and family business.

Your Dealership’s Value Is Our Business
Expert: Evaluation reports from Nancy Phillips Associates are crafted with firsthand industry expertise and a deep understanding of your market.

Informed: We take the time to learn everything about your unique situation and tailor our process to support your individual needs.

Accurate: We apply our decades of experience and data from our recent and relevant dealership transactions to deliver the most accurate assessment of your dealership opportunity.

Direct: We work directly with you or your designated representative, involving others only at your specific direction.

Discrete: We respect your need for confidentiality and complete our evaluation assignment with utmost discretion and without interference to your dealership operations.

When it’s time to sell, you can count on Nancy Phillips Associates for:

• Expert determination of the value of your business, and opportunities to document your dealership’s potential and represent it accordingly.
• Placement of your dealership with the right buyer in the Greater New England market area.
• Hands-on management that guides the entire transaction from evaluation through closing.
• A dedicated transaction manager that oversees every date and component of the approval process, ensuring that schedules are adhered to and contingencies are satisfied on time.
• Referrals to the top proven automotive professionals to support all your transaction needs, including environmental firms, dealership real estate appraisers, industry-specific attorneys and accountants, inventory firms and others.

Evaluating Your Dealership: Our Proven Process

An auto dealership evaluation prepared by Nancy Phillips Associates is a powerful tool that enables you to confidently define your personal needs and business options in terms of financial goals, the future direction of the business and your own exit strategy.

Common exit strategies include transfer of the business to heirs, outright sale or incremental sale to a partner or family member.

When you understand how to interpret your dealership’s value, you can confidently select the best option to maximize your proceeds and achieve your desired outcomes.

Elements That Impact Your Dealership’s Value
A proper evaluation of your business involves extensive research and analysis of every element that impacts its value. Our exceptional productivity and experience with facilitating auto dealership sales throughout Greater New England sustains our extensive firsthand knowledge of market areas, demographics, franchise value, manufacturers’ marketing plans and other elements that affect dealership value.

Key elements we analyze include:

• Current demographic data.
• Automotive industry statistics.
• Proprietary documentation of regional and local dealership performance.
• Comparable dealership sales.
• Manufacturers’ preferred market configuration plans.

Diligent Financial Recasting Determines Accurate Value and Potential
Since most automobile dealerships tend to report profits as low as possible, financial recasting is a crucial element in evaluating and discerning the actual earning history and true profit of your business. In assessing your company, Nancy Phillips Associates diligently recasts the financial data for preceding years. Key expense accounts are normalized to industry averages, restating expenses that are too high or too low.

Once recast, the financial history of your dealership translates past results into a realistic and tangible present value. This crucial step helps determine the data you need to plan your best exit strategy.

Why NPA?
Critical factors that influence dealership value — such as manufacturer requirements, shifting franchise values and evolving buyer and seller behavior — are often overlooked by accountants unfamiliar with automotive industry nuances. At Nancy Phillips Associates, this is what we do every day. We specialize exclusively in dealership sales, acquisitions and valuations. We listen to you, understand your needs and empower you to reach your goals in today’s ever-changing industry.

What is Your Dealership Worth?

Knowing the value of your dealership is critical to achieving your goals. We perform highly professional dealership evaluations for the purpose of:

• Estate and succession planning.
• Determination of current market value for the purpose of selling.
• Assessment of the real value of a dealership opportunity you have found on your own.
• Partnership buy-ins and buy-outs.

Thinking About Selling?
From start to finish, we support and guide you with a full spectrum of dealership buy/sell services:

• Thorough, honest and accurate determination of the value of your dealership.
• Coordination of environmental and appraisal requirements.
• Preparation of the formal Prospectus to showcase your dealership.
• Over 35 years of experience in expertly negotiating successful dealership transactions.
• Strong working relationships with franchisors.
• Management of legal and accounting services pertinent to each transaction.

Looking to Buy?
We confidentially match qualified buyers with dealership opportunities that meet their specific criteria and credentials. We provide:

• A diverse portfolio of dealership offerings from committed sellers that have completed a rigorous due diligence process.
• Protection of confidentiality for both buyers and sellers.
• Expert guidance pertinent to financial qualifications and franchisor requirements.

Whether you are buying, selling or need to determine value, we are here to help you succeed.