Sectors / Category

Annual turnover

|
  • Mandate: 33343
  • Added: 02 Aug 2019
  • 264

Virtual Reality Entertainment Centre in South Africa's Biggest leisure resort

North West, North West
264
Mandate 33343
Added 02 Aug 2019
R 3,000,000* ZAR
Stock: R 0
Assets: R 3,000,000
R 62,283 ZAR
Pieter Brink
Aldes Focus
Gauteng
Summary

A Virtual Reality Entertainment shop, not unlike Magic Company, in South Africa's biggest holiday resort. Brand new concept in South Africa, the business was invited by the resort to set up shop within the resort and has since grown at an exceptional rate. The resort falls within a resort franchise group and the business has received invitation from other resorts within the group as well as more than one mall in Gauteng.

SELLING PRICE
R 3,000,000* ZAR
Stock: R0
Assets: R3,000,000
R 62,283 ZAR
Summary

A Virtual Reality Entertainment shop, not unlike Magic Company, in South Africa's biggest holiday resort. Brand new concept in South Africa, the business was invited by the resort to set up shop within the resort and has since grown at an exceptional rate. The resort falls within a resort franchise group and the business has received invitation from other resorts within the group as well as more than one mall in Gauteng.

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

Fully describe the business's activities?
A Virtual Reality Entertainment shop, not unlike Magic Company, in South Africa's biggest holiday resort. Brand new concept in South Africa, the business was invited by the resort to set up shop within the resort and has since grown at an exceptional rate. The resort falls within a resort franchise group and the business has received invitation from other resorts within the group as well as more than one mall in Gauteng.

How long has the business been established?
12 Months

How long has the owner had the business?
12 Months

How does the business operate on a daily basis?
The business has a shop within the holiday resort and holiday goers attend at the shop for entertainment as well as games.

How are the clients attracted to the business?
It is the only entertainment shop at the resort and people attend as walk-ins during the day as a leisure activity.

What Advertising/Marketing is carried out?
The resort has television monitors on which the shop is advertised. The business sometimes attend around the swimming areas and hand out flyers. The business has a website as well. Lastly, the business is very visible from the area where the customers are participating in the resort activities.

What competition exists?
None at the resort

What are the seasonal trends?
The holidays are exceptionally busier than the rest of the year with 3 times the staff being brought in to handle the influx of customers.

Is the business VAT Registered?
No not yet. This is the first year of trading.

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

What is the age analysis of the debtors book?
Not applicable

How could the profitability of the business be improved?
The business has various opportunities, as well as invitations, regarding new and more stores at prime locations.

Is Seller finance available and for what amount?
No

What is the total staff complement?
There are 4 employees on a permanent basis together with 1 shop manager. During holidays the business employs a further 4 to 8 employees to handle the influx of customers.

Are they on contract?
4 of the employees are on permanent contract.

Do any have management potential?
Yes. A manager currently runs most of the day-to-day business.

How involved is the Owner in running the business?
The owner is very little involved with the business. The business is mostly run by the manager and staff. The owner only deals with macro management functions like dealing with the resort management.

When does the current lease end?
In 5 years from now

Is there an option of renewal & what period?
Yes

What is the annual escalation %?
None. The rental amount is calculated as a percentage of the turnover of the business.

What are the trading hours?
63 hours per week with certain exceptions. Everyday from 09:00 to 18:00.

What is the square meters of the business?
400

Who is the Owner/Landlord?
The holiday resort

Is a copy of the lease available?
Yes

Do you require a licence?
No. Bee level 4 is however required.

What lease deposit and/or other surety is required?
R100,000.00 was paid by the business upon occupancy.

What are the main assets of the business?
Entertainment equipment used by the business.

Are any items not included in the sale?
No

What is their overall condition?
Very new. An international online maintenance team is furthermore available 24 hours a day. The equipment is furthermore under replacement warranty.

How have they been valued ?
Purchase prices.

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

Are they presently insured?
Yes. The business has public liability as well as product liability insurance.

Strengths?
The business is situated within the biggest holiday resort in South Africa with a very large customer base.

Weaknesses?
Off-season trends effect customer numbers.

Opportunities?
The business has been invited to move to an even better location within the resort. The resort furthermore falls within a franchise group of resorts and 2 other resorts have informed their interest regarding opening branches of the same business as well. Two malls in Gauteng have invited the business to open shops on their premises as well.

Threats?
Companies copying the same concept.

What is the reason for the sale?
The owner is a Dubai National and has been requested to return in order to attend to other responsibilities.

Why is this a good business?
The business has shown an exceptional growth since it has commenced trading. The concept of virtual reality on this level is furthermore new to the South African markets and attracts exceptional interest. The business is furthermore endorsed by a very large holiday group and has material opportunity for growth.

Other listings by Pieter
R 1.35MZAR
Added : 11 Sep 2019 41
Yearly profit : R181,600
Gauteng
R 1.68MZAR
Added : 7 Aug 2019 215
Yearly profit : R504,826
Gauteng
FRANCHISE DETAILS

Aldes Focus

6 members
43 active mandates
Gauteng
Menlyn Woods Office Park Office Block C 291 Sprite Street Faerie Glen
0081

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

Similar Businesses for sale

Discover similar, inspiring businesses for sale

R 1.55MZAR
Added : 16 Sep 2019 0
Yearly profit : R677,010
KwaZulu-Natal
R 3.50MZAR
Added : 11 Sep 2019 45
Yearly profit : R605,599
KwaZulu-Natal
R 3.90MZAR
Added : 27 Aug 2019 144
Yearly profit : R1,025,899
Western Cape
R 1.68MZAR
Added : 7 Aug 2019 215
Yearly profit : R504,826
Gauteng
R 2.20MZAR
Added : 8 Jul 2019 368
Yearly profit : R990,977
Gauteng
R 1.95MZAR
Added : 8 Jul 2019 494
Yearly profit : R492,888
KwaZulu-Natal
R 4.34MZAR
Added : 24 Jun 2019 310
Yearly profit : R1,253,364
Gauteng
R 2.23MZAR
Added : 27 May 2019 571
Yearly profit : R912,394
Gauteng

Businesses in Gauteng

Annual Turnover Amount between R 500 thousand and R 6 million

R 425KZAR
Franchise
Added : 12 Sep 2019 70
Yearly profit : R268,820
Gauteng
R 1.35MZAR
Added : 11 Sep 2019 41
Yearly profit : R181,600
Gauteng
R 725KZAR
Added : 9 Sep 2019 132
Yearly profit : R269,298
Gauteng
R 1.45MZAR
Added : 7 Sep 2019 108
Yearly profit : R728,074
Gauteng
R 560KZAR
Added : 3 Sep 2019 230
Yearly profit : R466,796
Gauteng
R 500KZAR
Added : 28 Aug 2019 144
Yearly profit : R179,379
Gauteng
R 1.60MZAR
Added : 27 Aug 2019 152
Yearly profit : R790,851
Gauteng
R 1.95MZAR
Added : 27 Aug 2019 571
Yearly profit : R1,289,943
Gauteng