>> across this country, small businesses are closing their doors, killing dreams and costing tens of thousands of jobs. i'm here to fix this business. my name is marcus lemonis. in the past ten years, i've bought hundreds of failing businesses, turned them around, and i've made millions doing it. i'll write whatever check i need to, even if you won't. if you want people to listen, you put money on the table. i'm gonna give you a check for $500,000. i found six struggling businesses, some weeks away from closure. my plan is to turn them around. for the next week, i'm 100% in charge. >> all right. >> let's go get to work. can't run a business if it's not clean. but i'm not just giving them advice. i'm putting up millions of

dollars of my own money. if you don't know your numbers, you just don't know your business. i'll work by their side... i'll put in the hours... 'cause i have the same risk that they do. where's accounting? >> she's counting. >> no, where's accounting? >> um... >> oh, my god. this business is a total mess. i judge businesses based on three things: it's pretty damn good. most often, businesses fail because of people. >> i trusted people to manage. >> that's not fair-- >> what are you talking about? >> don't you even go there. >> i'm not going anywhere. >> you're strangling things. >> back up. >> i'm there to lead, but if they don't follow, this business doesn't make it. you're a thief and a liar and a cheater. >> you didn't do what you promised. >> get out of my face. all i hear is a bunch of noise. >> [crying] i don't want to lose my company. >> i'll make the tough decisions they won't. you're being demoted. anything to turn these unsuccessful businesses around. >> what the [bleep] is your problem?

>> that people don't [bleep] want to do it anymore. >> are you challenging me? >> you're making me look like a stupid liar, and i'm not. >> how am i supposed to trust you? and if they can't cut it... i gave you very simple instructions, and you failed. the deal's off. >> this is my [bleep] town. >> you wanna lose the deal with me? they need to go, today. if they get with the program... give me a hug. i'll teach them how to succeed. >> i think him coming in here has been absolutely fantastic. >> i think it's a dream come true. >> i mean the morale is better than it's been in a long time. >> any time you want to say thank you, i'll be fine with that. >> thank you. >> i'm rescuing the american dream one business at a time. >> it just changed our look. >> congratulations. you earned it. >> it may take 30 years, but you know i'm gonna make money. >> did you actually just tell me that it's gonna take 30 years? oh, my god. tonight on the profit... >> i'm marcus. >> it's a real pleasure--thank you so much. >> nice to meet you. i go inside car cash, an auto-buying business run by two brothers in new york city, which is on the brink of failure. >> we're dangerously low on cash right now, which means i can't buy cars.

>> if i can't fix the business... if you don't like money, don't follow my process. and the brothers' relationship... >> are you out of your mind? there's no [bleep] way! >> car cash will be closed for good. 35 years ago, bruce baron dreamt up car cash, a business that allows you to sell a used car for cash without all the hassle. the business thrived, making upwards of $50,000 a week, and bruce brought his sons jonathan and andrew into the company. >> nice to meet you. >> in 2007, the recession hit. the business tanked, and the family struggled to keep it profitable. >> my job is on the line. >> bruce passed away last year, making the situation even worse as the brothers mourn their father, struggle with business, and each other. >> i'm about to blow my top here. never tell somebody again to do that.

>> last year, the company generated $13 million in sales, but posted a $200,000 loss. now sales are down 70% from their peak, and the brothers find themselves $200,000 in debt and counting. they've had to lay off many employees, and neither of them have taken home a paycheck in months. >> i'm in the heat of battle. i'm busy downstairs generating income! >> mounting debt, combined with lagging sales, means that they could be mere weeks away from shutting the doors on this manhattan institution. >> i'm sick of this bull[bleep]. >> i'll do anything to fix this business. >> i've been buying and selling cars since i was a teenager, and i know this business. and with over 50 million new and used cars sold in this country last year, well, i see big opportunity with the car cash brand, and i want a piece of it. if jonathan and andrew follow my lead, i will turn this place around and make it profitable again. >> good, right there is good. thank you. >> hello, good morning, warren. hi, this is malissa from 1-800-carcash, carcash.com.

[dog yipping] >> hello? >> oh, hi! >> hey! how are you? >> hi, marcus. >> i'm marcus. >> hi, i'm andrew. >> andrew, nice to meet you. >> nice to meet you. this is murphy. >> where's your brother at? >> he's right in here. oh. >> good morning. >> marcus. >> i'm marcus. >> it's a real pleasure. thank you so much. >> nice to meet you. so, i want to get a little quick tour. >> right here, we're in the buying office. >> okay. >> when we buy the vehicles, we sit the customers here. this is where we negotiate all the deals. >> where do you sit, then? right there? >> yeah, they sit here, we sit behind the desk. >> wow, okay. i like the mascot. >> yeah. >> he's awesome. how many square feet do you have in total? >> uh, i think 4,500. >> which is this garage... >> yeah. >> and this? >> yeah, that's it. >> and that's it. >> and we do have a small office upstairs also. >> what's the rent here a month, 10 grand? >> [scoffs] ov--well over 20,000. almost $30,000 a month. >> almost 30,000? >> yeah. >> yep. >> space is very expensive in manhattan. having a large overhead, well, that puts a lot of pressure on a business. are both of you here every day? >> six days a week, yeah. >> you're the general manager? >> yeah, that's right. >> and your role is?

>> marketing, internet, social media. >> what's your biggest challenge today? >> getting customers to come in. i also need working capital. we're dangerously low on cash right now, which means i can't buy cars. >> how much do you spend on advertising? >> um, between 5,000 and 10,000 a week. >> a week? and how many people actually come here a day? >> you know, some days we get five... >> yeah. >> maybe ten a day. >> and what's your buying rate? wha--how many are you buying? >> i'm in the ratio--we're probably closing, like, 80% of-- >> what's typical margin on a car? >> anything under 10,000, you have to make $500 on the car. >> that's a slim margin. >> it's a very slim margin. >> the overhead at car cash is close to $100,000 a month, and they buy about 80 cars, with an average profit of $50,000 to $100,000, which means they're losing money every single month. my first impression is that the place looks tired and worn down. >> i would love to, you know, spruce up the place. the orange is a little dated. you know, i wanted bold, vivid colors with white. it's got to pop. >> i don't think so. i don't agree.

the orange and black works because it's striking, it stands out, and the office is very inviting. >> what office is inviting? >> the buying office. no? >> no. so, guys, i wanted to spend a little time kind of understanding the traffic that comes through here. i mean, obviously west 55th gets a ton of traffic. >> this is a fantastic location. we're basically the only outlet to the west side highway, so there are literally thousands of cars every day driving down 55th street. >> so what kind of advertising do you do? you do radio advertising? >> radio and web. >> so, you're in charge of marketing? >> for the most part. >> what--what do you mean, "for the most part"? >> well, with the radio, jon handles that, and internet-- >> isn't that marketing? >> i--this is--yes. it's--it's sort of a disconnect that we--that jon and i have. >> 50% of the business belongs to him, so my guess is that either you're not fighting for it, or he's just not listening to you. one of the two is happening. do you have experience in advertising? >> yeah, yeah. >> and what kind of things have you pitched to jon that he's just kyboshed, said no to? >> i would have a fleet of cars

that would drive around to do mobile appraisals. that would be wrapped up in a car cash advertisement. it would be bright. it would be vibrant--the color. it would catch people's eyes. >> we never did that before. it just seems so silly. >> these are some good ideas. why aren't you fighting for them? >> you know, to be candid, there's only so many--so many times you get kicked in the balls until you stop trying. >> the baron brothers are waging their own little war, and that's bad for business. andrew needs to find his place and stake his claim. >> was this a four-cylinder or a six-cylinder? >> hey, how are you? >> hey, how you doing? >> i'm marcus. >> steven. >> both: nice to meet you. >> is this your car? >> no, no, we're wholesaling them. >> wholesaling them? you buy cars from them? >> yes. >> how many do you buy a month? >> 40 to 50. something around that number. >> that's what you're buying? >> yeah. >> wholesalers are a broker who stand in the middle of a transaction. they buy cars from jon, they mark up the price, and they sell it to a dealer. why do we need middlemen around here?

how often is he here? >> my friend steven? >> mm-hmm. >> all the time. he's actually a wholesaler. i sell most of my cars to him. >> why? >> um, because i trust him very much. he's a good friend of mine. >> but the issue that i have is that you're giving up the spread.