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Annual turnover

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  • Mandate: 32876
  • Added: 18 Mar 2019
  • 479

Newly established 3@1 franchise

Gauteng, Other
479
Mandate 32876
Added 18 Mar 2019
R 550,000* ZAR
Stock: R 150,000
Assets: R 601,302
R -22,346 ZAR
Louis Aucamp
(PRINCIPAL)
Aldes Pro
Gauteng
Summary

The business is a printing, copying, courier and Internet franchise. It is equipped with multiple machines used to print on a range of sizes

Newly established 3@1 franchise
SELLING PRICE
R 550,000* ZAR
Stock: R150,000
Assets: R601,302
R -22,346 ZAR
Summary

The business is a printing, copying, courier and Internet franchise. It is equipped with multiple machines used to print on a range of sizes

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Fully describe the business's activities?
The business is a printing, copying, courier and internet franchise. It is equipped with multiple machines used to print on a range of sizes. It includes wide format prints on canvas and paper. Output includes business cards, laminated posters, high quality copies, binding, photos. Printing which cannot be done by the machines in house is out-sourced to reliable printers at trade price. It also offers corporate gifts.

How long has the business been established?
The business was established in August, 2017 and began trading in Dec 2017

How long has the owner had the business?
The owner has had the business since inception

How does the business operate on a daily basis?
The business is based in an open shopping mall in Weltevreden Park. Clients can park directly in front of the business and run in to obtain copies. The staff attend to both walk in clients, plus long term clients who email or drop off their requests. The client base is made up of retail customers and business clients. The day is made up of attending to printing, copying, binding, photographs, laminating, business services.

How are the clients attracted to the business?
1. Walk in customers in the centre requiring business services. Centre has several attractions ie : Mug & Bean, Woolworths Food, Clicks, Sorbet, hair dresser, ATMS, Rocco mammas. 2. Web site which has a high hit rate 3. Franchise is popular with over 66 stores country wide

What Advertising/Marketing is carried out?
Social media via Franchise Pamphlet drops Periodic campaigns : Google ads, Valentine competitions in the centre

Does the business have any contract work?
Yes : contract work from office design company, Doctor, Optician, Centre Management, Trainer.

What competition exists?
No competition in the centre. Closest competition is an independent print shop approx. 5 kms away, and another equivalent franchise outlet at Clearwater Mall.

What are the seasonal trends?
Seasonally the shop is quiet during December shut down and Easter. It is extremely busy from September to November.

Is the business VAT Registered?
Yes

What VAT documentation is on file?
All VAT documentation is available with the Accountant

Are there up-to-date Management Accounts available?
Yes – to July 2018

What Balance Sheet and Income Statements are available?
All are available on a monthly basis from our accountant

What percentage of the business is cash/credit?
80% cash. 20% on a credit basis, but typically paid on 30 days.

How could the profitability of the business be improved?
By landing more small to medium businesses as clients.

What is the total staff complement?
2 full time employees, 1 Owner, 1 Director

Give a breakdown of staff/ functions/ length of service?
• 2 employees handle all aspects of the business from printing, copying, photographs, cash up. They open and lock up on a daily basis. Both are very loyal and diligent and highly trained. 1 has been there from inception, the other 1 +- 6 months but is highly skilled with graphic design. • Owner – works from 9 am – 2 pm and manages all quotes that come in from the front desk or via the website. He also follows up on all work down outside such as corporate gifts or specialised business cards. • Director – works 7 hours per week on payments and accountant liaison.

Do any receive special perks or incentives?
No

Are they on contract?
They are full time employees.

How involved is the Owner in running the business?
Director – 10%, Husband of director – 70%

When does the current lease end?
December 2020

What is the square meters of the business?
65m2

Do you require a licence?
No but you need to be accepted by the franchisor

What are the main assets of the business?
• 6 computers • 5 Desks • 5 chairs • Till stools • Till with Titan software • 2 x laminators • Cutting machines • Kodak machine • Safe • Camera for ID photos • Telephones • Guillotine • Rotary trimmer • Business card cutting machine • External signage • Thermobinder • 2 x binders • Impress binder • Stock of paper, binding, Kodak paper, wide format paper, cartridges

Are any items not included in the sale?
No

What is their overall condition?
new

Do any require repairing?
normal servicing.

How have they been valued ?
Balance sheet value

Are copies of agreements available?
yes

Are they presently insured?
Yes

Strengths?
• Highly rated franchise with over 66 stores in South Africa. Additional stores being opened in Namibia and Botswana (2018). • Franchise courier support : DHL, Dawnwing with 30 day payment. • Fulll support from Head Office for training and trouble shooting • Trade agreements in place with top printers • Trade agreements in place with corporate gift company • Staff highly trained and loyal • Location is busy and getting busier monthly. Key anchor tenants include : Mug & Bean, Woolworths Food, Sorbet, Clicks, Rocco Mamas, News Cafe, FNB and Nedbank ATM.

Weaknesses?
• Centre very quiet in December shutdown period • Business very reliant on skilled staff with technology background – this can also be an advantage as current staff are highly skilled and motivated

Opportunities?
There is opportunity to obtain more business with small to medium businesses if the new owner has contacts

Threats?
If a Postnet opened up within 5 km this could pose a threat to courier service but not printing.

What is the reason for the sale?
Winding down for a planned move to join children in Australia

Why is this a good business?
Strong franchise which is growing The first year is always tough, even with a franchise, but this is now established and has regular clients base. Additional equipment of R100 000 equipment has been added to the shop over and above what is supplied by the Franchisor to cater for specialised needs

What is the price plus stock and the net profit?
R550 000 (normal franchise fee is R650 000) Inclusive of stock Stock (cost of sales)– R150 000

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FRANCHISE DETAILS

Aldes Pro

2 members
18 active mandates
Gauteng
Malcolm Road
0000

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