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Annual turnover

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  • Mandate: 32196
  • Added: 18 Jun 2018
  • AFS
  • 476

Packaging Franchise and Stationery Retailer

Gauteng, Johannesburg
476
Mandate 32196
Added 18 Jun 2018
R 540,000* ZAR
Stock: R 130,000
Assets: R 115,100
R 30,261 ZAR
Stan Moran
(PRINCIPAL)
Aldes Ace
Gauteng
Summary

Combined packaging supplies franchise and stationery retailer, operating from one premises, south of Johannesburg. Plenty of scope for expansion and minimal staffing requirement.

Packaging Franchise and Stationery Retailer
SELLING PRICE AFS
R 540,000* ZAR
Stock: R130,000
Assets: R115,100
R 30,261 ZAR
Summary

Combined packaging supplies franchise and stationery retailer, operating from one premises, south of Johannesburg. Plenty of scope for expansion and minimal staffing requirement.

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Fully describe the business's activities?
Retail stationery and packaging material supply franchise

How long has the business been established?
Since 2005

How long has the owner had the business?
Since 2005

How does the business operate on a daily basis?
Customers either call and collect orders, or place orders for delivery daily.

How are the clients attracted to the business?
Part of the business is a well known franchise, otherwise by word of mouth.

What Advertising/Marketing is carried out?
Company website and Google

Does the business have any contract work?
No

What competition exists?
Big packaging wholesalers and similar stationery stores, but none close by

What are the seasonal trends?
December and April usually quieter due to holidays, otherwise fairly constant

Is the business VAT Registered?
Yes

What VAT documentation is on file?
All returns

Are there up-to-date Management Accounts available?
Yes

What percentage of the business is cash/credit?
Packaging mostly COD, stationery mostly on credit account

What is the age analysis of the debtors book?
57 % current, 31 % 30 days, 12% 60 days

How could the profitability of the business be improved?
For stationery sales , get rep on the road after "back to school" business. Packaging is constantly growing.

Is Seller finance available and for what amount?
No

What is the total staff complement?
Besides owner and wife, only a driver employed

Give a breakdown of staff/ functions/ length of service?
Driver since 2010

Do any receive special perks or incentives?
No

Are they on contract?
Yes

Do any have management potential?
No

How involved is the Owner in running the business?
Full time

When does the current lease end?
Now expired

Is there an option of renewal & what period?
Can negotiate new three year lease

What is the annual escalation %?
Was 7.5%

What are the trading hours?
Weekdays 8 am to 4 pm. Saturdays 9 am to noon.

What is the square meters of the business?
140 sqm

Is a copy of the lease available?
Yes

Do you require a licence?
No

What lease deposit and/or other surety is required?
To be discussed with landlord

What are the main assets of the business?
Full asset list available, includes Nissan 1400 LDV

Are any items not included in the sale?
No

What is their overall condition?
All good and in working condition

Do any require repairing?
No

How have they been valued ?
Estimated market value

Which assets are on lease/HP and with whom?
None

What are their settlement amounts?
N/A

Will Seller settle or Buyer to take over?
N/A

Are copies of agreements available?
N/A

Are they presently insured?
Yes

Strengths?
Strong franchise brand, well established

Weaknesses?
Stationery business is very competitive and weak economy

Opportunities?
Actively promote stationery sales and chase "back to school" orders

Threats?
Economy

What is the reason for the sale?
Seller is going to join family in Australia

Why is this a good business?
Business has proved to be resilient since 2005 and has improved with the addition of the packaging franchise.

What is the price plus stock and the net profit?
Price is R540,000 including stock of R130,000 at cost or less.

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FRANCHISE DETAILS

Aldes Ace

1 members
16 active mandates
Gauteng
6 Nightingale Road, Atlasville
1459

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