After dedicating 32 years to the automotive industry, Scott Biehl has realized his long-held ambition of owning his own car dealership. His journey culminated last week when he was officially appointed as the dealer principal of Mercedes-Benz of Fresno.
Biehl’s association with the Fresno dealership began in 2003 when he joined as General Sales Manager, quickly progressing to General Manager. At that time, the dealership was part of the Asbury Automotive Group. However, when Asbury decided to divest in 2011, the manufacturer expressed a strong desire for Biehl to remain with the Fresno Mercedes Dealership.
This juncture marked Biehl’s initial foray into ownership. He partnered with Ray Beshoff and Jerry Heuer, acquiring his first ownership stake. Beshoff assumed the role of majority owner, while Biehl continued his responsibilities as General Manager, steering the dealership’s operations.
Following years of a successful partnership, the ownership group contemplated selling Mercedes-Benz of Fresno. Biehl initially considered leveraging his equity to invest in another dealership, furthering his ownership aspirations. Yet, once again, the manufacturer intervened, advocating for Biehl to acquire the Fresno Mercedes dealership outright.
This is where Brady Schmidt and Gary Mull of National Business Brokers (NBB) played a crucial role, devising a creative strategy for Biehl to achieve principal ownership at the dealership he had devoted so much of his career to. NBB facilitated the process of assembling a group of interested investors to buy out the majority stakeholders, paving the way for Biehl to become the dealer principal of the Fresno Mercedes dealership.
“Brady and Gary presented a pathway for me to remain involved, realize some immediate financial benefit, and increase my equity stake. They expertly structured the deal and brought together the necessary investors to seamlessly execute the transition,” Biehl explained.
At 53, Biehl is firmly in what he describes as “build mode.” His ambitions extend beyond Mercedes-Benz of Fresno, as he intends to expand his dealership portfolio. In partnership with NBB, Biehl is actively monitoring the market for suitable acquisition opportunities for his investment group. Utilizing NBB’s proprietary Realistic Market Value calculator, they are proactively evaluating potential acquisitions, seeking undervalued assets with significant growth potential for their next dealership venture.
“The automotive retail landscape is evolving, and we anticipate a wave of acquisitions from family-owned dealerships in the coming years. Many of these owners are contemplating retirement or feel challenged to compete with larger automotive groups,” Biehl observed. “Despite consistent dealership multiples, this environment presents attractive opportunities to acquire dealerships at equitable valuations.”
Biehl emphasizes that NBB’s expertise transcends the buy-sell market. “They are more than just brokers; they are strategic partners throughout the entire process. From identifying investors and structuring intricate deals to arranging financing for dealership acquisitions, their comprehensive support is invaluable.”
“It was a true privilege to collaborate with Scott, Jerry, and Ray. They are all exceptional automotive professionals with impressive careers, but more importantly, they are outstanding individuals. We are thrilled for Scott as he embarks on this next chapter and equally pleased for Ray and Jerry in successfully divesting their interest in the dealership at a high point in their success. Congratulations to all, and thank you for entrusting us to guide you through this complex transaction.” — Brady Schmidt and Gary Mull, National Business Brokers.
Facilitated by Brady Schmidt and Gary Mull.
