ZION TRAILER RENTALS FOR SALE

PRICE $259,000.00

Earn Six Figures Working March – October
 
   

BUSINESS DESCRIPTION

Zion Trailer Rentals is DBA of KPN Holdings LLC and both are registered in Utah.
USPS mailing address: P.O. BOX 790024 Virgin, Utah 84779.
Phone: 435-275-4470
Email: info@ziontrailerrentals.com


Zion Trailer Rentals core sales and services offer RV Trailer Rental & Delivery service to most of the campgrounds in Southern Utah. Deliveries Include Zion National Park; Zion River Resort; Zion Canyon campground Springdale; Sand Hollow Reservoir; Snow Canyon; Duck Creek Village; Bryce Canyon; Lake Powell; and some private properties.

There is additional income available upon individual deliveries including campground mat rentals, generator rentals, RV overflow and tank for dry camping, camp tables, chairs, as well as firewood bundles. We have intentionally limited our extra amenities offered with deliveries with the intention of keeping our business streamlined. However, there is opportunity to add other services and amenities for additional income such as hospitality kits, kitchen kits, etc.

We purchased all five of our RV Trailers brand new. Inventory includes five Salem Made by Forest River RV Trailers with sizes starting at 23’, 27’, and 28’. Two of each model 23’ & 27’. (One 27', 2012 purchased brand new 2013 off lot). All RV's were purchased brand new.

In 2013 we acquired a former customer list and websites. Eighteen years prior, they had an RV and Motorhome Rental business and lot in St. George and operated RV trailer deliveries that started successfully during the last recession in 2008 and showed growth each year after. Our business has proven to be a recession proof business.

Over three million visitors pass through Zion National Park each year. Most have camping in and around Zion on their list of things to do while enjoying the hiking, world-class mountain bike riding, ATV trails, horseback riding, fishing and so much more in the area. While there is a wide range of RV trailer rental camping customers, 80% are traveling visiting from California, Arizona, Nevada, and even North Utah, although we have customers from all over the country as well as out of country visitors! Foreign (out of country) clients are a small percentage, but a growing percentage of the clientele. There are opportunities to grow substantially in this demographic area.

We are fortunate that we have many customers returning annually and bi-annually. We have an extensive customer list of 600+ with complete with names, addresses, phone numbers, and email addresses. We will gladly provide the new owner with a letter of introduction list of all past customers. Customer ages vary from young married couples, singles with friends, families with children, travelers into their 50’s and more. Many are groups attending local events, family reunions, and family vacations so various groups are being well represented. There is a diverse demographic market.

The online visibility for www.ZionTrailerRentals.com is excellent. As of 2016, Google searches with the term RV trailer rentals, RV trailer rental and delivery, resulted in a #1 ranking for Zion RV Trailers and other searches that pertain to RV Rental in our area. The Zion Trailer Rentals Facebook page has many likes and is a means of connecting with past and potential customers and is basically used for goodwill rather than a focused sales tool. Although, Facebook does help customers with visually seeing the RV Trailers, visually seeing the different campgrounds we deliver to, and the amazing scenery in the area. Renting the property we are at may be an option.

As of present there are no other RV Trailer Rental & Delivery companies in this area. Although a local St. George ATV rental company, Red Desert at this time may offer an RV trailer for rent and / or motorhome. Neilson has a few tow your own units.

We are the only company we know of as of now, that specializes in RV Trailer Rentals & Deliveries. There is not another in the area who delivers, sets the RV trailers up and picks them up for the customers. "We make camping easy". All they have to do is reserve their own campsite of choice and show up to meet us. This is a huge benefit to the current owner and future owner.

People tell us all the time what a great service we are providing for them. We have built a strong rental and delivery business by offering great service, good prices, and quality, immaculate clean RV camping Trailers.

GROWTH POTENTIAL

The service place for this business is excellent with records breaking every year to the number of visitors in Zion National Park every year. The business was successfully operated out of St. George, for many years, although we would suggest Hurricane area is ideal, being centrally located.

With a potential for a lot of growth, both in inventory and marketing efforts. Employees are always another option. This is a great seasonal business that allows for winters off. It is reasonably run by husband and wife team as is now and could potentially grow a lot as a family business or otherwise.

It has been kept small vs. maximizing sales because this has been the owner’s preference (we do not have to manage employees) and they were content with the income it generated (growing to six figures).

With additional staff and capital investments, potential immediate revenue increases from current levels would be straight forward and very easy implement. The ziontrailerrentals.com marketing platform would be instrumental in making any business ramp up possible and profitable in the short medium timeframe. As part of the sale, growth ideas can be discussed. In fielding all the calls and inquiries online the past four years we have a good idea of the growth potential.

Over three-million tourists visited Zion National Park in both 2014 and 2015 and that number continues to grow. Zion Trailer Rentals only needs a fraction of that market to be profitable. There are many attractions as close as an hour's drive from camping in Zion. (World-class mountain bike trails, hiking, fishing, lakes, ATV trails, etc.)

NATIONAL PARK & UTAH STATE PARKS SERVICE REQUIREMENTS

Sale does not include the Commercial Use Authorization/Permits from Zion National Park and Utah State Parks, which are non-transferable. In the owner’s experience, the process was not complicated and involves the following:

• Filling out a CUA application and paying the applicable fees.
• Insurance Obtaining Commercial & Liability Insurance for RV Trailers and tow vehicle.
• Obtaining a city business license. It is an annual fee of $50.00 and the process is very simple.

TRAINING

A training period of two weeks is included with the sale. Office training will be conducted by our office manager/owner and includes topics such as office processes and organization, payments, banking, taxes, invoices and forms, accounting, business classification, and computer/software over views.

RV Delivery & RV maintenance guide and hands-on delivery training will be conducted by owner/delivery driver to three of the nearby RV campground parks, with personal introduction to key management personnel at the campground offices. Including training with the owners will provide help with such topics as RV maintenance, tools and gear, how we purchased additional RVs at dealers' cost, and growth ideas can be discussed.

• Comprehensive Owner's Manual covering all aspects of this business included. (with forms, etc.)
• After training is complete we will be available for phone consultations.

KEY ASSETS

Hard Assets: Five RV Trailers all purchased brand new 2013. Cost Replacement:
• One 2103: 28’ Salem Cruise Lite (sleeps up to 10) $17,000.00
• One 2013: 27’ Salem deluxe (sleeps up to 9) $17,000.00
• One 2012: 27’ Salem deluxe (sleeps up to 9) $17,000.00
• Two 2013: 23’ Salem Cruise Lite (sleeps 4 – 6) $26,000.00 ($13,000.00 each)
• RV maintenance Tools and additional equipment $10,000.00

• Extra RV Tires, jacks, pressure washer, air compressor, propane tanks, RV refill kits, pumps, tanks, everything needed to run this business.

Not included:
• 2013 Toyota Tundra 1/2 ton, which is available for purchase at fair market value.
• Camping generator, which is available for purchase at fair market value.


Other Assets:

• Website with the #1 Google search results in the business category
• Facebook page with over 800 followers is a direct audience to promote to.
• Dedicated web hosting and website resource in place.
• Good reputation with the community, other local businesses, park service and repeat customers.
• Owners have an excellent knowledge about the Zion area and business environment and opportunities.
• Various advertising in place to insure continued growth through the 2017 season and beyond

• Direct Response and Newsletter subscribers of 800.
• Included all established phone numbers, logo, trademarks, emails, website URL's, associated with
  Zion Trailer Rentals.
• Non-compete clause to be added and will be included in sales contract.


PRICE: $259,000.00 cash

FINANCIAL SUMMARY

The operating season is March through October. This spring/summer/fall season currently we have taken a good number of reservation deposits that will be transferred to the new owner. Depending on timing of the business sale, this could represent $30,000.00+ secured business income.

• 2016 = Gross Sales $100,000.00+

We are currently holding a large number of deposits, which indicates this will be our strongest year.
Deposits for reservations will be transferred to new owner.


• 2015 = Gross Sales were at $88,000.00

• 2014 = Gross Sales were $103,000.00

• As of November 2013 our first operating year Gross Sales were $70,000.00.

• By November 2014 Gross sales were $103,000.00.

• November 2015 Gross income came in at just under $90,000.00. (This income attributed a large loss due to cancelled campground availability of an large annual event having a conflict with another event in the area.)

• 99% of sales were generated by website and social media, referrals, and return customers.

• Based on the past three annual seasons of sales, 2016 projected sales are 100,000.00+ with high growth potential and fast ROI.

• Our first year as a start-up company was 2013 with 68 reservations and $70,000.00 generated for the season. (This also happened to be the year the national parks shut-down, with an estimated loss of reservations of $15,000.00).

• QuickBooks financial statements will be provided during the due diligence phase of serious potential buyers.

• CPA/Accountant records upon due diligence will be provided.

• Reason for selling: Owner has other business interests.