[Pattaya Male]

A few weeks ago, I was desperate to rent an auto in Pattaya. I was going to go to Korat and the farang friend I was going to drive with became ill. Since it was the New Year, the car rental places I called were either out of cars or renting for a really high price.

I went online to Dragoncastle web site and located this rental agency. The service and price were excellent. They only had one car remaining when I called. The Thai I spoke with and who delivered the car was very professional and spoke excellent English. I would highly recommend them from my experience.


"WESTERN CAR RENTAL Co Ltd
01 894 2 118
Email: westerncarrentals@hotmail.com

Gay owned and operated car and minibus rental with excellent rates. Available in Pattaya, with VIP minibus plus driver to operate from Pattaya and BKK to anywhere in Thailand and guided tours of the Pattaya Gay Scene by a local gay Thai guy who speaks excellent English"--from Dragoncastle web site

[DELETED]

DELETED

[DELETED]

DELETED

[boygeenyus]

Not sure how you did in 2005, as the numbers aren't in, but in 2004, Western Car Rental Co Ltd posted a loss of 155,443.88 baht on total revenues of 1,189,705.00 baht.

In 2003, there was a loss of 260,291.76 baht on posted revenues of 545,770.00 baht.

That said, the company does have book assets of around 3 million baht as of year end 2004.

But still not what I'd call a hot property.

[DELETED]

DELETED

[gearguy]

A business can show a loss on the balance sheet and still show excellent cash flow; it works thru a little accounting principle called depreciation. The more capital equipment involved in the business, the higher the depreciation.

So for a car rental business, depreciation on the vehicles would be a significant chunk of baht I would imagine and would certainly go a long way to negating profit on the books, esp the first years of operation.

1.8M Baht does not appear to be unreasonable for a business with gross sales of 1.2M baht.

MBA rule of thumb is 2-3x gross sales, tho it does depend a lot on the type of business (service, manufacturing), the amount of capital equipment and inventory on hand and the sales backlog.

[StuffedPotato]

Let me state th obvious...what about your ex-bf?..he seems a good candidate for owning the business...with generous terms, of course.

and....I think I want to hire Boygeenyus to do a little detective work!!

[boygeenyus]

No, John, I was not trying to be "cleaver". You have stated repeatedly here that your business is for sale, is profitable, and a good deal. I'm always interested in a potential good investment, so I pulled some numbers as any potential investor would.

So, since we're conversing, what WERE your revenues and bottom line profit in 2005? You state that your business is "profitable", so I assume it's in the black? Never mind if you don't want to tell, the figs will be available come mid-year and I'll report back then.

And, to the poster above, I do understand about depreciation. The rate is 20% per year in Thailand, but limited to a max of 1 million baht. So assets of about 3 million could have generated depreciation of at most 600,000.00 baht. On the other hand, everyone knows that the real resale value of second hand cars depreciates at a faster rate than this.

And to the other poster above, valuation of a company is a tricky business. But expected return on investment is almost always more important than revenue.

[DELETED]

DELETED

[DELETED]

DELETED

[boygeenyus]

OK, I think I know where you're coming from. Certainly something a potential buyer would want to know. The tax guys do have a way of catching on, though, even if it's a few years down the line. And "that was the previous owner, not me" doesn't get you very far when you're talking about a corporate entity.

[DELETED]

DELETED

[boygeenyus]

I don't know what "games" you think I'm playing. And I'm certainly not implying anything, though you seem to be doing a lot of inferring.

All I know is, if someone has revenues that are off the books to avoid tax, that is certainly a no-no. Conversely, if one has false expenses ON the books, that is also a no-no. Both would lower one's tax exposure. Not saying you or anyone is doing that, but it is the first thing I think of when someone tells me that their books don't tell the whole story.

[let me tell u]

I think the hole is being dug deeper, this sort of conversation is not for this forum.

I'm sure you have good business potential to sell, its up to any new buyer to build on all your good work, Car rentals have multiplied in the last 3 years so much so if you build up a good Client base and upgrade the Cars frequently, you cant loose with an enterprising owner.

I have a friend Holiday Rentals Pattaya, who I rent my cars from, he has grown from strength to strength in no time at all, I'm sure there not building apartments after new apartment in Pattaya, unless they thought the Town was going to expand and as I have had a home in Spain for over 20 years, this town is going exactly the same way, as I have always predicted, another good friend of mine in the UK called Holiday Autos, has also started in a small way, now look up his accounts, marketing is the word, and if your including 6 modern cars with a good client base yes you do have something good to sell may be for 1.500.00 baht

[DELETED]

DELETED