Events Hire -STOCK SALE WORTH R3 MILLION !!!!
SPECIAL EVENTS create memories that last a lifetime! This moment in time should be captured with creativity & impression ! Clients have different tastes, ideas , designs and are seeking that special guidance in colour, accessories , price & availability for that "special event". Themed events and children "character parties" can be remembered with excellent planning & fun activities.
1. History Background
Fully describe the business's activities?
This Party rental business is one of the finest rental companies in the area.They supply and hire top quality equipment coupled with exceptional specialized customer service.The business hosts a wide variety of rental equipment such as stainless steel vases, glassware , crockery , tableware , tablecloths made from amazing materials & chiffons, , chair dresses & accessories. Colours across the rainbow and various blends to ensure that you have the most extravagant decor for your function.They pride themselves in making your event one to remember ,making your ordinary event, truly extraordinary!
How long has the business been established?
Planning of party's and Events has been provided to us in a seamless and all inclusive eventing solution to a diverse and dynamic pool of clients since the late 2000's. The business has been operating for the past 8 years.
2. Present Market
How does the business operate on a daily basis?
The Business operates as such : 1. Project manage the entire process on behalf of the client.( optional) 2. Selection and procurement of venue, food, accommodation, sending of invites/gifts etc RSVP management.(optional) 3. Managing and hosting of events. 4. Party hire for childrens parties & themed events. 5. Catering on request of clients. 6. Pizza's
How are the clients attracted to the business?
The business attracts many"walk in" clients. The client prefers to select their own colour scheme and hired items such as vases, tableware , tablecloths & accessiories items.The business has established a reputable name for itself and receives much referral business due to its excellent service & variety of products.Often Venue centres refer clients to this business.
What Advertising/Marketing is carried out?
The following methods of advertising are used: 1. Local Newspaper advertising. 2. Word of Mouth. 3. Internet & Facebook.
What competition exists?
In this geographical area there is really no competitor for this business. A very unique business in this vicinity therefore the business has a projected long lifespan if managed as currently.
What are the seasonal trends?
The business performs well during the year with peak seasons in Summer months. Many weddings, engagements , business functions & other major events are held during this festive period.With marketing and exposure the business can remain consistent throughout the year.
Is the business VAT Registered?
The Business is not VAT registered.
Are there up-to-date Management Accounts available?
THIS IS AN ASSET SALE ONLY !!! Therefore no figures is required for this business. STOCK will be sold in the form of "hired items".
How could the profitability of the business be improved?
Profitability can be maintained at 48% Gross Profit if business is managed as currently. 1. Extensive marketing & exposure . 2. INTERNET & FACEBOOK. 3. Flyers and catalogues can be sent out to clients as a "form " of Advertising.
How involved is the Owner in running the business?
This is an owner operator business. The business can however allow for management of the business and staff if need be. The business has the capacity to expand.
What are the trading hours?
Show Room: Monday to Friday 08:00am - 5:00pm Saturday : 08:00am- 13H00. After Hours By Appointment only.Normal delivery hours are: Monday to Friday 8:00am - 5:00 pm. Before and after hours deliveries are "subject to" an "after hours" charge.SUNDAYS ARE CLOSED.
What is the square meters of the business?
Is a full asset list on file?
YES. This is an ASSET/STOCK SALE only. The business and stock could be moved to any premises of choice.
Are any items not included in the sale?
All Assets including the " shelving" forms part of the sale.
What is their overall condition?
All the assets are in " GOOD " condition.
Do any require repairing?
Yes. The "ROUND " tables need repairing.
Are they presently insured?
The business is insured for R4 million.
7. S.W.O.T. Analysis
Strengths: 1.This is an established business operating for 8 years. 2.The business hosts a "variety" of colours to suit all style's and pockets. 3. Affordable prices. 4. Excellent Service. 5. Delivery service.
Weaknesses: 1. Breakages from both staff & clients. 2. Human error of orders.
Opportunities: 1. Broaden the client base by signing contracts with "wedding venues, guest houses , coporate businesses and coffee shops". 2. Be contracted as a "wedding planner" or " events planner".
8. Reason For Sale
What is the reason for the sale?
The Assets are being sold as the Owner would like to use the premises for "another business venture".
Why is this a good business?
For the following reasons : 1.This type of business generates a good income. 2. Easy to manage and control. 3. Brings much excitement to the business as " each " client is different. 4. Peaceful ( not many businesses can say that , unless operating a "health spa" ) 5. Unique business and capable of satisfying the need of all clients.
What is the price plus stock and the net profit?
The business "Selling price " is R1.3 million Stock net worth is R3 million. Truly getting much more than the true value of the Business !!!