Fully describe the business's activities?
- Buy and Sell 2nd Goods as well as New Product. - Pawn and Loan Cash to the public. - Fully Registered and Industry Compliant. - Market Leader Franchise Network!
How long has the business been established?
- 11 Years
How are the clients attracted to the business?
- Visible external signage facing busy main roads. - Positioned on well supported and established shopping centre with ample parking.
What Advertising/Marketing is carried out?
- Strong focus on Digital Campaigns which includes Google, Facebook and WhatsApp. - Printing and hand out of flyers in immediate residential and commercial / industrial areas.
What are the seasonal trends?
- Retail at its lowest over January and February months, with an increase in loans - Retail increases again in March with the loans business continuing to build on growth from January and February months.
When does the current lease end?
- August 2019
Is there an option of renewal & what period?
- Yes, for further 5 years
What are the trading hours?
- Mon to Fri 08:00 to 18:00, Sat 08:00 to 14:00 and Sun 08:30 to 12:30
Do you require a licence?
- Yes, 2nd Hand Goods Trading Licence and NCR.
What is their overall condition?
- The business is due for a revamp - The revamp is estimated at R1mil - Similar size business will cost R3.5mil to setup new
- Recession Proof, and above average margins. - Above average ratio of repeat customers. - Industry Leading Franchise with excellent support.
- The business needs to be revamped.
- a Similar size business will cost R3.5mil to setup new - This listing offers an established business at a discounted price to a new business, including the costs of the revamp - New Lease to be negotiated by new owner / franchisor could result in a discounted rental and immediate increase in EBITDA as a result
- Business is cash hungry - Microeconomics specific to the region
What is the reason for the sale?
- The owners are consolidating their business interests.
Why is this a good business?
- Established business with 11 years of trade, loyal customer following with a high ratio of repeat clientele in all revenue streams of the business. - The security of being part of a well known and established Franchise Organisation.
What is the price plus stock and the net profit?
- Selling for R1.3mil. - Annual EBITDA of R300k after managers salary. (last 12 months)
Annual Turnover Amount between R 500 thousand and R 6 million