Fully describe the business's activities?
The business consist of two franchises in the prime Pretoria East area that sells advertising space on TV screens situated in Dr's waiting rooms.
How long has the owner had the business?
Owner bought the business in October 2014
How does the business operate on a daily basis?
Owner sold some ads part time until July 2016 when he became too busy with his other businesses and his wife took the business over. Franchisee to sell adverts to small businesses in their area.These adverts will be shown in selected Doctor waiting rooms. Adverts are viewed by a captive audience, which means the ad slots are very easy to sell. Franchisees are required to visit each site once a month to ensure the technology is still functioning correctly and to load the adverts onto the system. The clients may change their adverts once a month, and the franchisor does all the development and artwork for the adverts.
How are the clients attracted to the business?
Just started with a four page website about two months ago and owner is very happy with the results. He also has adwords setup but not going yet. The Franchisor has a website which also advertises each franchisee in their specific area. Head Office enquiries will also be allocated to the correct franchisee Franchisees can do local advertising in their area to attract more clients.
What Advertising/Marketing is carried out?
Business has a FB page that has generated good leads.
Does the business have any contract work?
Most clients sign up for one year and either pay over three months (to get a special price) or sign a monthly debit order.
What competition exists?
No competition that the owner is aware of.
Is the business VAT Registered?
Not needed, below the threshold.
Are there up-to-date Management Accounts available?
Seller has kept good records since he started but admits that limited involvement from his part can be noted in the figures. The income stated in this report is projected/potential figures for a franchise and not actual income for the two franchises for sale. Please contact your broker for more detailed information.
What percentage of the business is cash/credit?
Most of the clients pay the yearly advertising fee once-off by EFT or they will sign a monthly debit order.
How could the profitability of the business be improved?
FB lead generation courses. Utilizing the website. Owner involvement.
How involved is the Owner in running the business?
Owner is currently involved less than two hours a week. The franchise can be owner operated or a representative can be appointed.
When does the current lease end?
This is a work from home opportunity. You will meet clients at their offices.
What are the main assets of the business?
Laptop. 14 x 32 inch screens with their computers
How have they been valued ?
Owner assisted us with replacement value.
Are they presently insured?
Not currently insured as owner found that fixing the problems works out cheaper than the insurance. But an insurance amount has been included in the figures.
- Work from home opportunity - Low overheads and easy to manage business - Secured income and easy to sell products - Good systems and support from Head Office - Trusted Franchise and good franchise model - Good Income with limited owner involvement
Not enough owner involvement
More advertising Employing a Rep
What is the reason for the sale?
Owner is currently too occupied with his other companies and his wife is not interested in this business.
What is the price plus stock and the net profit?
Selling price of R660 000 excludes training from the Franchisor
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