Dive Shop for Sale???

[BrianV]

Here in Austin we have a handful of dive shops (more than I'd expect being that there's limited diving around here). The LDS I go to has two shops, one in North Austin, one in South Austin and although I don't know for certain how well the owner is doing financially, he just move the north store to a much larger shop (from a strip mall to a standalone building), made a custom dive training pool, etc. When you can talk to him you can definitely tell he has a true passion for diving, but like others said, I don't think he dives much (locally). I've never seen him in the water at any of the LDS events, nor have I really seen the store managers for that matter. It's the lesser employees and instructors that do the most diving.

However, they do A LOT of group trips (expensive ones might I add) and the owner seems to go on all of those.

It's probably not the best business to own from a financial aspect, but as I grow older I'm finding that a life with a modest income doing what you love is better than a life of hell for more money. Of course you need to make a modest income to get by nicely.

 

[PhotoTJ]

I wouldn't say all areas are saturated. Two dive shops opened in here in Santa Clarita within the last three years, one about 5 months ago and both seem to be doing well. We also have a Sport Chalet so you could say we have three shops and it doesn't look like anybody is closing their doors anytime soon. It would just take some local knowledge and research. Good Luck!

Aloha Dive in Santa Clarita closed last weekend.

 

[daniel f aleman]

Austin is an exception to many cities in many ways. As for diving, Austin has a wealthy, young, outdoorsy population. All Austin shops right now are doing well...

 

[Rick Murchison]

Don't let the dream stealers beat you down.

Indeed... my comments about government, for example, are designed to simply get you to realize they're part & parcel to any business venture and a royal PITA - not to discourage you from forging ahead. But when you make your business plan and you've covered all your bases and figured every dime you need to start... double it! Then bust your tail to make your dream come true and it will
Rick

 

[rigdiver]

Four strong and well established stores went out of business in Houston in January. The dive business is a tough one. It's really many businesses rolled into one. Entry level classes, continuing education, retail sales, rental, repair, travel. You are going in many directions at one time. It's a seven day a week job with as many hours per day as you can stand. Good luck.
And the old joke is: Do you know how to make a small fortune in the dive business? Take a large fortune and buy a dive store.
Bill

 

[Wayward Son]

I dunno if it's been sold or not, but last year an LDS was on the market. Diver's Den in Dothan Alabama. 334-794-6555.

This shop is located on the south side of Dothan, a straight shot down the highway to Panama City, FL. About 70 miles or so. There are also 3 diveable springs about an hour from the shop & Ginnie springs is maybe 3 hrs away. It's a PADI shop, well established & been there a long time. Word is the owner has cancer & is liquidating.

 

[Rick Murchison]

Four strong and well established stores went out of business in Houston in January. The dive business is a tough one. It's really many businesses rolled into one. Entry level classes, continuing education, retail sales, rental, repair, travel. You are going in many directions at one time. It's a seven day a week job with as many hours per day as you can stand. Good luck.
And the old joke is: Do you know how to make a small fortune in the dive business? Take a large fortune and buy a dive store.
Bill

This is not an unexpected trend. Several years ago I wrote of the paradigm shift I felt would overtake the Scuba industry as sideways marketeers and internet sales began to nibble and now take huge chunks out of dive shops' traditional income source. Margins in traditional areas - equipment and accessories - are simply shrinking, and will continue to shrink to unbelievably low levels. Far too low to support a dive shop. Right now some enterprising shops are marketing over the net at lower-than-normal margins on those lines that allow it and doing quite well, but I believe all manufacturers will soon be forced to allow their retail prices to float with the market or perish, and shops everwhere will then compete for their market share at lower margins - but still not enough to support the business with only local customers. And so profit will have to come into areas that the internet can't provide - training, timely maintenance, repairs, guided trips, pool time. The problem is that the last of the cheap training shops will have to fail before the first of the realistically priced training shops can succeed. Today's successful shops either have a profit niche too removed or too small for the internet assault to make inroads or they're out there slugging it out with LP and the rest. 'Tis an interesting time in the Scuba business. A great time of opportunity for the right young firebreathing entrepreneur
Rick

 

[Mack Diver]

I recently bought a dive shop in Austin. Granted, I've known the previous owner since about the time he opened the place 12 years ago. I did my research and made my decision to buy, for many of the same reasons you are looking to get into the buisness. Although, I have no such dream about diving alot. You can do that if you can afford to hire people to do all of the work for you.

I'd suggest you pick an area you like and do your research. Floridia may be too crowded with shops. Houston did loose four, but they were smaller shops and there is a dominant player there that has four or five shops around town.

I think there nay be room for a new shop in Corpus Christi. Copelands is the old standby there, but they could use some competition.

The internet is making things tough, but my thinking is that the LDS will be able to survive. Divers are sociable creatures and I like to think they prefer to hang out at a dive shop rather than an internet coffe shop. Besides, who is going to do the service on your equipment if all the LDS go by the wayside?

Rick is right that retail prices will have to float and you will see increased prices for training and service.

I'm hoping that others will read this great thread you started and realize that buying from internet outlets is choking out the LDS. Is that something they really want to see happen? I hope not.

Good luck on your adventure. I hope it is as exciting and fullfilling as mine has been so far. Just remember that you will have a huge learning curve ahead of you. Stick with it and make your dream come true.

Mack -New Owner Oak Hill Scuba, Austin TX

 

[daniel f aleman]

Congrats Mack, and good luck to Mark.

 

[landlocked]

No dive shops in my town! (Hum... I wonder why?) I'm sure that you would love the weather! Its a balmy 34 degrees farenheit today.