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  • Zach Dogar

Selling an Automotive Business

Updated: Feb 16, 2023

Case Study: Sale of Autoparts Europe ltd


Zach Dogar and his team sold Auto Europe ltd within 6 months of instruction. It is an automotive electrical products company based just outside Gatwick Airport and is operated from a large industrial unit with offices. The Company was started by the Owner David Lyons in 1989, and he wished to retire.

automotive business sale

Business information

The business distributes automotive electrical products and manufactures wiring harnesses. The main bulk of the business is tracking accessories which has great potential because of present developments in the car insurance industry. The company is able to make and manufacture specialist looms from drawings and therefore have a very niche market. They have 40 different products but over 8,000 lines. The Company employs a part time assembler along with 2 full time staff who process orders.

The client base is global including some of the major car manufacturers such as Subaru. The company has always provided quality, flexibility and price and is very well known in the industry. The client database has over 200 clients.

The turnover was £323,817 with a net profit of £107,081. The previous year the turnover was £434,814 and the steady decline has been due mainly to the age and health of the Owner. Included in the sale price was equipment worth over £50,000 and stock worth £60,000.


The very first step in the process was to agree a good market price as the Owner wished to sell as quickly as possible. The eventual market price agreed upon by Zach was then comfortable for him to justify.

We then ensured we had all documents available before we went to market, and had undertaken much of the due diligence on the business early on. In our experience, if you are not fully prepared then a sale can be delayed and any potential issues that may hinder a sale are dealt with in advance. Our business questionnaire is designed to extract important and comprehensive details of the Business including a SWOT analysis to help formulate an effective marketing strategy designed to maximise price. A comprehensive Information Memorandum was prepared, so that when an interested party did come along, the whole process would happen very swiftly and there would not be any delays, even when the file was handed over to solicitors.

We also had to agree a marketing memorandum to place on websites and to send to competitors which maintained confidentiality but at the same time was able to attract Buyers. We involve the Client at each and every part of the process, putting them firmly in control and advising them each step of the way.


We understood that this opportunity would probably attract a private investor from the motor car industry or an acquisition by another competitor. The business was discretely exposed via the Internet using our website,, and A private Investor was soon found and the legal process was expedited due to our Clients ill health. The business was sold within 6 months of going to market.

Would you like to discuss the sale of your business?

Book your free consultation with the author of this post Zach Dogar.



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