Looking into buying a Sprint/Nextel Authorized dealer?

[xljaylx]

Hey everyone,

I am looking at buying a sprint / Nextel authorized dealer and needed some help to figure out weather they are good stores or not?

He is selling 2 stores together

The location seems good and sales on paper seem good for the past few years. but now he is going through a divorce and the sales have dropped significantly. Currently Averaging only 12-18 phones per. month per store. he seems like he doesn’t care about his stores. he is doing no advertising or any type of marketing for his stores. Inventory seems low too.

Basically if I get this I will have to go in and do some good managing and marketing. And it seems like all I am paying him for ($$$$$ that he wants) is his residuals, Contract with Sprint/Nextel to be a authorized dealer, and some furniture in both stores. Sprint Contract states that I can add one more carrier ( so that can be a plus)

1. Any recommendations on if I should get this remarket and manage this to bring sales up.?

2. Do these authorized dealer stores still make money? or compete with best buys, circuit cites..online and sprint retail stores?

3. What is the average number of phones one store needs to sell to make a profit and pay bills?

Thanks all in advance for inputs..

[WirelessBeachBum]

. Any recommendations on if I should get this remarket and manage this to bring sales up.?

Sprint overall has been bleeding customers, so you may want to do your homework and shop other agent in your market to see how they have been doing.

2. Do these authorized dealer stores still make money? or compete with best buys, circuit cites..online and sprint retail stores?

Yes there is still money to be made... online is a tough competitor, but you can overcome with service and by keeping inventory stocked.

3. What is the average number of phones one store needs to sell to make a profit and pay bills?

Depends on overhead, what is your rent look like? You can set up with Sprint to have customers phones direct shipped, so that could save on some capital, however that does take away some of your advantage from online...

What is he is wanting for the stores?