Vintage Japanese bike parts business for sale in CA - interesting!

[oldGSfan]

Can't say I'm not tempted. I am heading out on 2 weeks furlough to go mountain biking 'somewhere', perhaps swing up near SLO. I have been thinking of a side busiiness my wife can help me with as well, and have the $ to do this. Please talk me out of it!

I'm not sure how you buy an eBay business, do you get the seller's ID? Otherwise it's a bunch of parts - as far as I can think through it early in the AM

https://losangeles.craigslist.org/sgv/mcy/d/san-luis-obispo-vintage-motorcycle/7124733798.html

 

[Bortasqu]

If you want to invest 30k in a company, I don't think you can just look at it like a side job. This is a full time job for sure, or are you thinking of hiring someone to do the invoice/packaging/costumer servicing?

 

[oldGSfan]

He's asking $12K. My wife doesn't work, she'd be perfect but there just isn't enough info so I sent him an email to find out more. I am on unpaid furlough for 2 weeks, and expect to get laid off, company had 30% reduction 2 weeks before Covid hit. Writing on wall.

30K is 'processed inventory removed from eBay store' by which I think he means it's been inventoried and priced,shipping calculated and listed, and can be re-listed (this is assuming he will transfer the eBay store). I asked.

If you want to invest 30k in a company, I don't think you can just look at it like a side job. This is a full time job for sure, or are you thinking of hiring someone to do the invoice/packaging/costumer servicing?

 

[dorkburger]

Interesting, but I find it hard to believe it?s as easy and rosy as described.

 

[Nessism]

It's all about the inventory. There are ten's of thousands of parts listed on ebay that will never sell, or if they do the seller is getting nothing for them. It just amazes me sometimes that people bother.

 

[bwringer]

If you can quickly identify some sort of fairly easy process improvements, or something the seller is doing wrong that you could correct easily, it might be worth consideration.

For example, a lot of fleaBay stores post blurry postage stamp photos covered in filth and then wonder why their stuff doesn't sell. Or they use a template that's full of red flags like idiotic misspellings, angry rants, incorrect information, etc. Quite a few sellers have bad/spammy application information or descriptions, and overpriced parts are of course rampant.

There are also quite a few clueless sellers who reduce logical assemblies to their component molecules then wonder why they don't sell. For example, cylinder heads are mostly useless if they've been disassembled.

It's also quite possible (and I think the most likely scenario) that the parts pile has been pretty well picked over and nothing much of great value is left.

 

[RichDesmond]

I have one big question for you. Have you ever had a job where you deal daily with the general public? People can be...interesting...and if you don't have experience in dealing with it (and a temperament suited for it) then you're going to be miserable.

After that, Ed's point is very important. Really, you're not buying a business, there's no goodwill there that's worth much. You're just buying parts. So if the inventory THAT WILL SELL is worth $12k (factoring in everything you'll have to do) then maybe it's worth it.

Also, it's very unlikely that the free dollars this business can generate will be more than a little extra spending money. If it was generating significant, stable income he'd be asking a lot more than $12k for it.

 

[oldGSfan]

Yeah good points - I talked to the seller, I realize it's mainly a pile of parts. A really really big pile of parts, tens of thousands. Hundreds of tanks, seats, pipes etc. He has inventoried/sorted/cleaned about 20% (the part he took off his store). It's parted out bikes he sourced for cheap or free, not dealer inventory he bought out. His son is very ill and can't sustain the business. Said he cleaned, took pics and described as well as possible (he knows bikes), and listed 10 to 20 a day. It is hard to value this and I my initial interest waned a bit but not due to the seller's info. I always wait to simmer down before a big decision, well except marriage I 'may' go see it. If camping was open up there I'd go right away, as it's a beautiful area. But i'm headed to Sedona for 5 days or so, and it'll have to wait.

 

[Big T]

You also have to consider what he has vs what will sell. Suzuki GT 500 parts-yes. Honda XL 175 parts- not so much
As in any business transaction, examine the books. He may be listing 20 parts/day, how many are actually selling?

 

[93Bandit]

If you can quickly identify some sort of fairly easy process improvements, or something the seller is doing wrong that you could correct easily, it might be worth consideration.

For example, a lot of fleaBay stores post blurry postage stamp photos covered in filth and then wonder why their stuff doesn't sell. Or they use a template that's full of red flags like idiotic misspellings, angry rants, incorrect information, etc. Quite a few sellers have bad/spammy application information or descriptions, and overpriced parts are of course rampant.

There are also quite a few clueless sellers who reduce logical assemblies to their component molecules then wonder why they don't sell. For example, cylinder heads are mostly useless if they've been disassembled.

It's also quite possible (and I think the most likely scenario) that the parts pile has been pretty well picked over and nothing much of great value is left.

All excellent points. The last statement would be my biggest concern. Especially since you mentioned all the parts are from parts bikes, not NOS dealer inventory. So condition is likely not the best for many of the parts.

Another thing to consider, which may not actually be an issue but I figured it's worth mentioning, is that there may be several parts that aren't being purchased in favor of newer modern parts. R/R for example with respect to the GS crowd. If this stash of parts has OEM Suzuki GS R/R, you can count them worthless since most who are aware will buy an SH775 or similar.

As I always say though, never hurts to look. See what he has and take time to think about it.