Fully describe the business's activities?
145 bed accommodation with variable options , Restaurant , Conference facilities , Event venue and caravan park 3 Star rating
How long has the business been established?
Since November 1986
How long has the owner had the business?
Since April 1999
There is a strong turn-around in the profitability during the last financial year
How does the business operate on a daily basis?
The owner and staff are daily involved with the admin / reception / housekeeping / maintenance / restaurant and preparations for events like conferences and weddings
How are the clients attracted to the business?
Word of Mouth Internet searches Visible location - well known landmark in Town
What Advertising/Marketing is carried out?
Website / Where to Stay / LekkerSlaap / Safari Now / Rooms for Africa / Trip advisor / SA Venues
Does the business have any contract work?
Vendor number at Mining Houses
What competition exists?
Other Guest houses and B&Bs in town Other Restaurants is town
What are the seasonal trends?
Is the business VAT Registered?
What VAT documentation is on file?
Are there up-to-date Management Accounts available?
What Balance Sheet and Income Statements are available?
2016 / 7 financial statements The 2018 statements will be available on request soon
What percentage of the business is cash/credit?
Mostly cash and small % on 30 days credit
What is the age analysis of the debtors book?
Only a small amount on 30 days
How could the profitability of the business be improved?
Marketing , BBEEE involvement , further development of land , selling of portions of un-used land , More focus should be given to corporate events , conferences and functions
Is Seller finance available and for what amount?
Yes , will be negotiated a 70% deposit and a down payment will be considered
What is the total staff complement?
16 plus owner and his wife
Give a breakdown of staff/ functions/ length of service?
Do any receive special perks or incentives?
Yes , like meals and accommodation
Are they on contract?
Do any have management potential?
How involved is the Owner in running the business?
Overseeing the management and operations on a daily basis
When does the current lease end?
No lease - owned by seller
Is there an option of renewal & what period?
What is the annual escalation %?
What are the trading hours?
7 day / week 24 Hours standby assistance Reception 7h30 - 21h30
What is the square meters of the business?
Who is the Owner/Landlord?
The seller is owning the property
Is a copy of the lease available?
Do you require a licence?
Liquor license , Tourism Grading Counsel SA , SAMRO , SAMPRA , Local Trading Concent license
What lease deposit and/or other surety is required?
What part of the property is used by the seller ?
The seller staying in a luxury house on the property . The "" rental "" value of this house is counted back to the profitability of the Lodge There is also a other house that is used by relatives
What are the main assets of the business?
Land , buildings and movable assets
Are any items not included in the sale?
Personal items of seller - the contense of 2 private houses on the property will not be included . The seller will specify it with the buyer
What is their overall condition?
Generally very good
Do any require repairing?
Standard maintenance on a ongoing basis
How have they been valued ?
Fixed assets - Estimate based on Bank and Insurance figures and 2012 valuation by professional valuator Movable - Market value
Which assets are on lease/HP and with whom?
What are their settlement amounts?
Will Seller settle or Buyer to take over?
Are copies of agreements available?
Are they presently insured?
Highly visible - close to CBD and direct access for main road Well established - 34 years Well maintained facilities Vendor numbers at mines Diversified business income
Weak and insufficient marketing Owner has lost a bit of focus because of his other business venture
Growth in town ( Mining ) BBEEE partnership will increase the turnover Additional land available for development ( Life Style Estate / Retirement Village )
The currant volatile economic climate Other smaller B&Bs and Guest houses
What is the reason for the sale?
The seller's children are grown up and left town The seller has another business venture nationally that he wants to grow from Gauteng
Why is this a good business?
This is a well established lodge with a good steady income over the years . The good location and additional land offers further growth opportunities This business survived the economic downturn due to good management and a healthy cash flow From the 2017/18 Financial Statements you will see that there is a strong upturn in the turnover and profits from the previous 2 years
What is the price plus stock and the net profit?
All inclusive selling nett price @ R 17 050 000
Annual Turnover Amount between R 500 thousand and R 6 million