Grocery Supermarket with Bottlestore For Sale
Well established, international branded Supermarket with Bottlestore for Sale.This outlet is in close proximity to the new industrial development Zone. yielding 23% return on investment. Priced to sell
1. History Background
Fully describe the business's activities?
Retail Grocery Supermarket operating from 8.00am to 8.00pm. Franchised liquor store operatng hours as prescribed by Liquor licence
How long has the business been established?
Supermarket since 1996, liquor store since 2004
How long has the owner had the business?
2. Present Market
How does the business operate on a daily basis?
General assistents for sevice departments( butchery, bakery and deli) enter at 6.00am and start prep work. Cashiers and Shift managers enter at7.30 to open trading by 8.00am. At 11.00am the second shift comes in and closes at 8.00pm
How are the clients attracted to the business?
Well established brand. Continous advertising via brochures and leaflets
What Advertising/Marketing is carried out?
The Franchise destributes leaflets and brochures
Does the business have any contract work?
What competition exists?
Other branded Grocery supermarkets in area
What are the seasonal trends?
Sales spike upwards in Dec through to April. August, September generally quieter
Is the business VAT Registered?
What VAT documentation is on file?
every two monthly returs as requested by SARS
Are there up-to-date Management Accounts available?
What Balance Sheet and Income Statements are available?
The AFS are in the process of being drafted. Accoutants have a draft on file
What percentage of the business is cash/credit?
How could the profitability of the business be improved?
The present owner is in the process of instaling a Pizza oven
Is Seller finance available and for what amount?
What is the ROI?
What is the total staff complement?
53 Staff members, consiting of General assitants, supervisors, cashiers and managers
Give a breakdown of staff/functions/length of service?
Large % of staff members been employed for numerous years.
Do any receive special perks or incentives?
Are they on contract?
On full time employment contract
Do any have management potential?
Managers and supervisors
How involved is the Owner in running the business?
When does the current lease end?
The current ownerof thesupermarket is the owner of the building
Is there an option of renewal & what period?
To be negotiated with present owner
What is the annual escalation %?
To be negotiated
What are the trading hours?
Trading from 8.00am to 8.00pm
What is the square meters of the business?
Retail Floor 720m2 Tops 140m2 Backup service area 300m2 New pizza area 60m2
Do you require a licence?
A liquor licence for Tops. The existing licence can be tranfered to new owner
What lease deposit and/or other surety is required?
2 months rental deposit
Is a full asset list on file?
Are any items not included in the sale?
What is their overall condition?
Good working condition.Maintenance is an on going task and owner undertakes to hand all equipment over in working order.
Do any require repairing?
How have they been valued ?
At cost less 50% depreciation
Which assets are on lease/HP and with whom?
Non on HP or Lease
Are they presently insured?
7. S.W.O.T. Analysis
The supermarket belongs to an international brand and are pioneers in the grocery retail industry
Competition from other retail supermarkets
In an ecconomic growth area, dense populated and close to construction site of new harbour.
8. Reason For Sale
What is the reason for the sale?
Owners family has emmigrated
Why is this a good business?
Belongs to an international brand, situated in dense populated area, in proxinity to developing area.( Coega deepwater harbour)
What is the price plus stock and the net profit?
Price R4 500 000 Stock+/- R1 300 000