Looking for Investor(s) Automotive Company in Orange County, CA

[spenserrr]

Hello,
A business partner and I are currently looking for an investor/investors in an automotive company located in Orange County, CA. The car market is still going strong here and both he and I see it as a huge success. Our first year sales is est. $2.3M and we are looking for an investment of around $400K. We would be a wheel/tire shop that also does car audio, tint, and sells cars on the side. Both my partner and I are involved with car/police auctions where we are able to obtain cars fairly cheap. From there we will put our own touches to the car to make it look one of a kind (wheels, tint, audio, etc.). I have been in contact with many of the high end companies such as Forgiato, Lexani, Nutek, Kicker, and Modular Society to name a few. All of the owners I have spoken with and are really looking forward to setting us up in the right direction. All these companies need an authorized dealer located in Orange County! I also have wholesale access to places like CarID and Dubz Direct where we will be able to obtain accessories for about a 40-60% cost. I have the following sheets available if anyone wants to take a look:
Capital Expenditures
P&L
First 12 Mo.
Break Even Analysis
As far as ROI goes, name your price. We are very flexible in that we want you to be as successful as possible getting involved with this investment just as we want to be successful in business. Our locations we are scouting out are in Huntington Beach, Lake Forest, Irvine, Costa Mesa, and Newport Beach. All these locations will give us tons of access to high end clients.
Experience:
I am 19 while my partner is turning 21 later this year. I have designed wheels for show cars through Forgiato, Asanti, and Lexani. I have also designed wheels for people on cardomain.com and have received tons of compliments and projects through them. I have a lot of connections including Tint Shop Owners, Wheel & Tire Shop Owners, owner of Nutek Wheels, owner of Envy Expo, and other CEO's of restaurants, hotels, and businesses. My partner is good friends with owners of Platinum Motorsport in LA. He is also friends with the owner of Envy Expo and Mikes Tint Shop. Our resources will allow us to be extremely successful in this field. Our motivation to succeed is greater than anyone in our age group and we are very excited to get this thing rolling.
Our company is called Prestige Motoring which we have reserved and are in the process of getting trademarked. The company logo is already finished and ready to go. Our company logo will go my personal cars as well as my business partners (blacked out Ridgeline (show), range rover (show), mercedes c300, dodge challenger (show), and a mercedes g550) I am good friends with some people that put on car shows and will easily be able to put the cars we are selling in the shows as well as our personal collection which will draw a lot of attention.
Please reply or PM if you are interested. I am leaving this weekend for a cruise and will return on July 11th. As soon as I return is when we are looking to get started. I will not have access to my blackberry but you can email me at spenser.boller @ yahoo.com and I will return your email as soon as I get back from my vacation.
Thanks for your time!
Spenser Boller
co-owner Prestige Motoring

[stevejonathan10]

Hi,

Your business plan seems impressive but i suggest you to consult a firm who can convey your ideas to investors in the form of Stimulating MS PowerPoint Presentation. This is very necessary nowadays in order to achieve immense success.

Let me know if i can help you out in this matter.

[MJaguar]

Just from experience when I opened my very first Retail business make sure you do research on cost of every little detail. From permits, deposits for utilities, licenses, to display cases, to the smallest of things like; pens, pencils, magazines, catalogs (most you can get for free), computers, point of sale software, etc. The list is big of all the little stuff you may not even think about. If you have already found a location for your shop you also need to check on price for any construction cost too. Don't forget that you will have to have a Fire Marshall inspect the place and if it's not up to code you will have to spend money in whatever it is you need just to bring the building/shop up to code.

Most investors are going to want to see exactly how you are going to spend their money so be prepared. Don't show X for inventory, Y for overhead, and something like Z for Misc and Z = something outrageous like x+y. Basically I am trying to say don't put more than I would say 1% of $400,000 for Misc expenses. They want to know what you call misc and what it will be for.

[JKansas]

If all else fails, don't be afraid to bootstrap it! I had an amazing business plan for our company when we began.. we didn't get funding so we bootstrapped. A competitor (we knew them) started with a very similar plan to mine and spent the 450k and is now closing. We're struggling like most in our business right now but with little to no debt and still open. I would never show this to anyone but your partner, but consider doing up a bare minimum budget and forecast as an educational exercise. See what's the least you could get away with and be creative. Can your displays/demos be bought used? Can you live with family until it get's running and pay yourself less? Could you sell one of the cars and use that cash plus savings to start up? Things like that. Don't budget yourself out of business, but be realistic. You're young, and you face a lot of skeptacism, especially starting the business you have chosen. Don't be afraid to prove them wrong, but don't expect to not jump extra hurdles because of it.

And I agree withi Mjaguar. Expect to do this for any investor or banker.

[MJaguar]

I actually forgot one major expense and that's Insurance. In the business you are looking into your insurance cost is going to probably be pretty high. Your inventory cost I am sure is going to be pretty expensive let alone your demo/displays and then you have to account for your insurance for what happens if you screw something up on someones car because it was late and you were tired and you forgot some small detail and you blow their engine. I know to replace an engine in a Lambo it's $10,000+.

I know someone that has a custom shop like what you are talking about and I can ask him what he pays in insurance here in Arkansas (sure it will be higher in Cali but you will have an idea). And typically these type of shops get broken into a lot so I would invest in security cameras and a good security monitoring service. Possibly even those gated window bars like they would have in the hood. Though that won't help much with internal theft (employees).

Ok I think I am done now lol. I'm not trying to scare you or nothing because I would love to see this happen for you because I am a big gear head myself and I have spent several years in that type of lifestyle with car shows and such and I love it. But I am just trying to help you on the business side of it.

[spenserrr]

MJaguar-Thank you for your input! I do have about 1% of $400,000 for misc and also have a little cash reserve. As far as everything else goes we have basically the money down to the penny (a little high est.) We are very fortunate to be good friends with people who have started companies (in the field as well as in other fields) who are helping us out a whole lot and look forward to seeing us succeed being that we are so young and so motivated to please customers as well as maintain good relationships with all of our wholesalers. Insurance is included in the investemnt as well as security cameras/surveillance. If you could ask your friend who owns a shop like ours about insurance that would be great (I'm sure it is a lot more out here too haha).
JKansas-Thanks for the great ideas! The cars we have now are going to be show cars for the company, I know people who run DUB shows and I can get in at a fraction of the cost where many people will be able to see our work. I will definitely speak with my partner about doing a bare minimum, we are just positive that the around $400K will get us everything we could possibly need to be extremely successful.
Spenser
co-owner Prestige Motoring

[MJaguar]

Talked to my buddy today and he says he spends right at $6,000 per year on the insurance. He said for sure you need a Garage Keepers policy, your Liability, and Workers Comp insurance. That is all that Arkansas requires but he said that likely there is more that Cali will require. He also suggested that you become EPA certified to do emissions testing so a) you can make income on testing vehicles and b) so you can upsell anytime you do an exhaust system that it will pass emissions and that will give your customers piece of mind. Here in Arkansas we have no emissions test so we don't really have to worry about it.

He also said you may check into opening in either Arizona or Neveda cuz it may be cheaper. Either way good luck with your adventure and hope it all works out for you. You have a long and tough road ahead of you.

[MirageGlobalMarket]

I live in Huntington Beach myself and I am an expert in marketing. If you guys need help selling your products or a business partner, feel free to contact me.

[spenserrr]

MJaguar-Thanks for talking to your buddy! We are looking at more than 6k a year on insurance definitely. We already have the investment set up to cover liability, workers comp, and an epa certificate. We are looking to first open in Orange County because the market here is huge and then we will branch out and get shops in Vegas, Phoenix, and Denver (possible locations).
Mirage-I will definitely contact you when I return from my vacation. We definitely need some help marketing