Sectors / Category

Annual turnover

|
  • Mandate: 32639
  • Added: 10 Feb 2019
  • 84

Coffee & Machine supplier to corporates, bars, restaurants across Durban

KwaZulu-Natal, Durban
84
Mandate 32639
Added 10 Feb 2019
R 760,000* ZAR
Stock: R 10,000
Assets: R 150,000
R 34,594 ZAR
Cliff Bell
(PRINCIPAL)
Aldes Exclusive
KwaZulu-Natal
KwaZulu-Natal
Summary

Priced to sell NOW ! Trendy industry, with established suppliers & clients, which can be operated from home (then R18 000 pm extra NP). Expansion is possible within present product lines or by adding other products.

SELLING PRICE
R 760,000* ZAR
Stock: R10,000
Assets: R150,000
R 34,594 ZAR
Summary

Priced to sell NOW ! Trendy industry, with established suppliers & clients, which can be operated from home (then R18 000 pm extra NP). Expansion is possible within present product lines or by adding other products.

To gain access to more business info
please supply us with your details below

Fully describe the business's activities?
Very easy to operate from home without staff. Existing clients place orders/replacements or request servicing (owner or if involved an external party is utilised for repairs). New clients are approached to purchase coffee (unground or ground) or machines, or rent machines. Machine retail prices range from R3 000 to R100 000 each. Some 38 machines are owned by the business and rented out, mainly on the basis that all coffee is purchased from this supplier; while two larger ones are on rental agreements that should continue into the future. The owner visits the Durban based clients about 3-4 times a month, to push the relationship, sales, and servicing of machines. Suppliers are paid COD but would offer 30 days if required (which present owner doesn't)

How long has the business been established?
15, of which 11 have been with the present owner

How are the clients attracted to the business?
Existing clients provide the major portion of revenue, with referrals and the website being important, while business development is not conducted enough. The website is relatively good but online sales are not advanced

What Advertising/Marketing is carried out?
Attempts have been made in leaflets & radio, but rewards have not been noticed

Does the business have any contract work?
No - although Corporate/Business/Restaurant/Bar clients do provide continual revenue

What competition exists?
Quite a few competitors, with product lines being the main distinguishing factor presently. Some suppliers are simultaneously competitors in respect of coffee.

Client breakdown
The 150-200 regular clients consist of : 70% corporate/business & 30% - restaurants & coffee bars.

Product Breakdown
60% coffee sales, 20% machines (sales / rentals), & 20% spares

Is the business VAT Registered?
Yes, although being regularised, noting that being a small business, one would probably buy the business out of the PTY to ensure to carry-across liabilities.

Are there up-to-date Management Accounts available?
Quickbooks MA'a are produced each month from Invoices / receipts (inward & outward), which will show monthly variances. This Report is drawn up from the MA's excluding personal benefits. The Net Profit of R415 129 is that amount accruing to the owner (inclusive of whatever salary he wishes to draw). An additional Net Profit of R18 000 is achievable if one works from home (small storage area - 10m2), as well as, through better control of expenses (eg own computer at R9 000) No AFS are available

How could the profitability of the business be improved?
Push business development - with all types of clients, in respect of coffee & machines Push other product lines - Barista Training, smoothies, milkshakes, chillers, slush, catering equipment

What is the total staff complement?
The business is operated by the owner with time to spare each day

Premises Details
Presently operated from some 25m2 with two other businesses. A cost of R60m2 was included within the expenses for the business report. However the R18 000 pa allocation could be saved (become part of the Net Profit) if operated from home.

What are the main assets of the business?
Some 38 rental machines & a coffee grinding machine. They are valued at some R150 000 on a re-sale value, but would cost some R400 000 to be replaced

Strengths?
15 yr operating business in Durban with a good name for products & services Established client & supplier network Steady turnover of some R1.3m pa that could be improved with more effort easily operated with excess time on hand in a day No staff hassles

Weaknesses?
Owner operated only

Opportunities?
Push other product lines - Barista Training, smoothies, milkshakes, chillers, slush, catering equipment

Threats?
Other competitors, some of which are also suppliers to this business

What is the reason for the sale?
Owner is emigrating

What is the price plus stock and the net profit?
The Sale Price is R750 000, excluding R10 000 stock, but including the 38 rental machines and the grinding machine. The business achieves a healthy stable annual Turnover & Net Profit of R1.3m & R415 000 respectively (with later rising R18 000 pa should the business be operated from home).

Other listings by Cliff
R 1.39MZAR
Added : 15 Feb 2019 30
Yearly profit : R935,294
KwaZulu-Natal
R 1.03MZAR
Added : 21 Sep 2018 624
Yearly profit : R544,103
KwaZulu-Natal
R 2.00MZAR
Added : 31 Jul 2018 728
Yearly profit : R1,105,944
KwaZulu-Natal
FRANCHISE DETAILS

Aldes Exclusive

2 members
10 active mandates
KwaZulu-Natal
11A Coghill Avenue, Kloof
4000

Our experienced cross industry brokers are
waiting to assist and guide you…

Similar Businesses for sale

Discover similar, inspiring businesses for sale

R 860KZAR
Added : 14 Feb 2019 24
Yearly profit : R523,380
Western Cape
R 540KZAR
Added : 12 Feb 2019 54
Yearly profit : R260,129
KwaZulu-Natal
R 950KZAR
Added : 11 Feb 2019 42
Yearly profit : R709,597
Western Cape
R 565KZAR
Added : 10 Jan 2019 189
Yearly profit : R455,029
KwaZulu-Natal
R 785KZAR
Added : 27 Dec 2018 251
Yearly profit : R248,221
Western Cape
R 650KZAR
Added : 3 Dec 2018 242
Yearly profit : R219,172
Western Cape
R 775KZAR
Added : 25 Nov 2018 452
Yearly profit : R315,192
Gauteng
R 790KZAR
Franchise
Added : 7 Oct 2018 420
Yearly profit : R288,502
Western Cape

Businesses in Gauteng

Annual Turnover Amount between R 500 thousand and R 6 million

R 800KZAR
Added : 14 Feb 2019 721
Yearly profit : R442,259
Gauteng
R 465KZAR
Added : 13 Feb 2019 40
Yearly profit : R240,245
Gauteng
R 1.25MZAR
Added : 12 Feb 2019 79
Yearly profit : R236,577
Gauteng
R 2.30MZAR
Added : 7 Feb 2019 104
Yearly profit : R979,940
Gauteng
R 950KZAR
Added : 6 Feb 2019 180
Yearly profit : R459,669
Gauteng
R 850KZAR
Added : 1 Feb 2019 175
Yearly profit : R1,188,784
Gauteng
R 550KZAR
Added : 1 Feb 2019 143
Yearly profit : R254,209
Gauteng
R 790KZAR
Added : 1 Feb 2019 153
Yearly profit : R244,902
Gauteng