Sectors / Category

Annual turnover

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  • Mandate: 33047
  • Added: 26 Apr 2019
  • AFS
  • 226

Garden Landscaping and Maintenance Business in Eastern Cape coastal town.

Eastern Cape, Eastern Cape and other areas
226
Mandate 33047
Added 26 Apr 2019
R 1,405,000* ZAR
Stock: R 5,000
Assets: R 11,000
R 41,917 ZAR
Willem Smuts
(PRINCIPAL)
Aldes Algoa
Eastern Cape
Eastern Cape
Summary

Landscaping and Garden Services situated in popular Eastern Cape coastal town. Garden landscaping for new and existing homes, seasonal maintenance, landscape design, lawn treatments, instant lawn, irrigation and garden service contracts. Established over 4 years and trading very profitably. All work is owner supervised and the staff are very well trained and experienced.

SELLING PRICE AFS
R 1,405,000* ZAR
Stock: R5,000
Assets: R11,000
R 41,917 ZAR
Summary

Landscaping and Garden Services situated in popular Eastern Cape coastal town. Garden landscaping for new and existing homes, seasonal maintenance, landscape design, lawn treatments, instant lawn, irrigation and garden service contracts. Established over 4 years and trading very profitably. All work is owner supervised and the staff are very well trained and experienced.

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Fully describe the business's activities?
Services include landscaping, horticulture and general garden care. Garden landscaping for new and existing homes, seasonal maintenance, landscape design, lawn treatments, instant lawns, irrigation and garden service contracts.

How long has the business been established?
4 Years

How long has the owner had the business?
Since Inception

How does the business operate on a daily basis?
The business comprises of a team of 5 and is overseen by the Owner on a daily basis.

How are the clients attracted to the business?
Strong marketing, brand awareness, word of mouth and positive references from clients.

What Advertising/Marketing is carried out?
Media print – Info Ads (local monthly booklet), Business and Information Guide publication; Business card directory; Personal business cards; Leaflets drops in post boxes. Online media – Website (only local landscaper to have own site). Facebook page.

Does the business have any contract work?
The business has approximately 30 gardens which are maintained on a weekly, fortnightly or monthly basis, depending upon size of garden or clients requirements.

What competition exists?
There are other similar businesses in the region but each with their own customer base.

What are the seasonal trends?
Ratio is approximately 65% summer and 35% winter. The quieter months of June, July and August still trade above breakeven. Business is not significantly affected by seasonality.

Is the business VAT Registered?
No

What VAT documentation is on file?
N/A

Are there up-to-date Management Accounts available?
As and when required.

What percentage of the business is cash/credit?
Predominately paid by EFT with out-standing amounts settled at month end. Landscaping work requires a 50% deposit and full payment upon completion. No bad debts have been incurred since inception.

How could the profitability of the business be improved?
The whole market is growing as the town develops and the business shall do so accordingly. Consideration can also be given to introducing other services such as pool maintenance and small DIY work for example.

What is the total staff complement?
5 Plus Owner

Give a breakdown of staff/ functions/ length of service?
1 x landscaper: 4 years’ service. (Attends to planting, paving, laying of stone, composting and fertilizing, lawn treatments, landscaping, general garden maintenance etc.) 1 x Brush Cutter Operator: (Weed Eater). 3 years’ service 1 x Lawn Mower Operator: 3.5 years’ service 1 x General Garden Maintenance Worker: 3 years’ service 1 x General Garden Maintenance Worker: 2 years’ service

Do any receive special perks or incentives?
Staff are paid performance bonuses at discretion of Owner, dependent upon quality of landscape projects and successful time completion.

Are they on contract?
Landscaper is employed and paid monthly. 4 Staff are permanent but paid a daily rate on a fortnightly basis.

How involved is the Owner in running the business?
The Owner is hands on and supervisors all work on a daily basis. Responsibilities include, drafting of quotations, administration, monthly accounts, debtors invoicing and creditors, sketch drawings and landscape design and marketing and all general management functions.

When does the current lease end?
Storage garage only on a month to month rental basis.

What are the trading hours?
08-30 to 16-30 Monday to Friday. Saturdays if and when required to do so.

What is the square meters of the business?
Garage 25 square meters.

What are the main assets of the business?
An asset list is available when required.

Are any items not included in the sale?
The business hires a vehicle which can be purchased if required.

What is their overall condition?
All equipment in good second hand condition and approximately 2 years old on average.

Do any require repairing?
No, all in good working order.

How have they been valued ?
Owners second hand value.....replacement value around R30,000+.

Are they presently insured?
Yes, insurance is in place.

Strengths?
Solid reputation and strong brand awareness. Known for high standard of service. Hands-on management by Owner. Business enjoys a positive cash flow as deposits are taken for landscaping. There have been no bad debts since inception.

Weaknesses?
There are no perceived weaknesses if the Owner maintains the service levels.

Opportunities?
There are numerous opportunities to consider such as pool services and DIY jobs if the new Owner wishes to further develop the business.

Threats?
There are no known threats to this business.

What is the reason for the sale?
The Owner went into semi-retirement when he and his family relocated from Gauteng just over 4 years ago. His wife has been commuting to Johannesburg on a regular basis with her employee. They now feel that they have reached the stage where they are free of commitments and would like to travel on a regular basis. Despite having started the business and seen it grow into a lucrative operation, they feel that by selling it they are able to enjoy more freedom to pursue their own interests.

Why is this a good business?
This business is ideal for a person who wishes to relocate to the coast and would like to keep themselves busy without being too committed to a full days employment. It offers a substantial income and is supported by well trained and loyal staff who can do most of the work without Owners involvement. The business does offer development opportunities if desired and is a relatively stress free operation so offers a good quality of life with a business involvement and interest in this very popular and semi-exclusive coastal town in the Eastern Cape.

What is the price plus stock and the net profit?
The selling Price is R1,400,000. The stock is low at around R5000. Monthly net income is attractive at around R42,000 per month.

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FRANCHISE DETAILS

Aldes Algoa

1 members
20 active mandates
Eastern Cape
16 Frykenhuis Street, Summerstrand
6001

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