Fully describe the business's activities?
Franchised coffee shop, restaurant and gift shop at the entrance of one of the biggest hospitals in North West.
How long has the business been established?
How long has the owner had the business?
Since December 2011.
How does the business operate on a daily basis?
The cook starts with preparation at 07:00 and the doors are opened at 08:00. The cart, filled with snacks and treats, is sent through the hospital once per day at 11:00 and contract meals are delivered.
How are the clients attracted to the business?
The coffee shop is the first thing you see when entering the hospital. There are also many doctors' consulting rooms and they are currently expanding.
Does the business have any contract work?
Yes, daily meals are prepared and delivered.
What competition exists?
No direct competition exists.
What are the seasonal trends?
December and April tend to be quiet months.
Is the business VAT Registered?
What VAT documentation is on file?
All is available on request from serious buyers.
Are there up-to-date Management Accounts available?
Monthly figures are available.
What Balance Sheet and Income Statements are available?
Financial statements for the year ended 28 February 2016 are available. As well as the Trial balance for 2017.
What percentage of the business is cash/credit?
What is the age analysis of the debtors book?
How could the profitability of the business be improved?
Marketing, acquiring more contract work and sending the cart through the hospital twice a day.
Is Seller finance available and for what amount?
What is the total staff complement?
8 Employees including the owner.
Give a breakdown of staff/ functions/ length of service?
1x Owner 1x Cleaner 3x Cooks 2x Cashier 1x Assistant Almost all employees came with the business when the current owner purchased the shop.
Do any receive special perks or incentives?
Are they on contract?
Do any have management potential?
How involved is the Owner in running the business?
The owner has a "hands on" approach to her business and is 100% involved in every aspect of the business.
When does the current lease end?
A new lease has been signed with the franchisor and is valid for 10 Years.
Is there an option of renewal & what period?
What is the annual escalation %?
N/a. Montly lease is calculated at 8.1% of Turnover plus electricity.
What are the trading hours?
Do you require a licence?
Yes. Health and Safety certificate.
What lease deposit and/or other surety is required?
R10 000 lease deposit.
What are the main assets of the business?
Furniture and Kitchen equipment.
Are any items not included in the sale?
Everything is included.
What is their overall condition?
New. Re branding and a revamp is also included.
Do any require repairing?
How have they been valued ?
Estimated values from the owner.
Which assets are on lease/HP and with whom?
The fridge, credit card machine and point of sale system.
What are their settlement amounts?
Will Seller settle or Buyer to take over?
Are they presently insured?
Excellent location, highly profitable and part of a trusted and very popular franchise.
The opportunities are endless for the new owner, from expanding the gift shop product range to acquiring more contract work. Especially at this moment as the hospital is expanding and new doctors are moving their consulting rooms to the hospital.
What is the reason for the sale?
The owner is relocating.
Why is this a good business?
As this shop is inside a hospital, there will always be customers.
What is the price plus stock and the profit?
The total price of R2,000,000 includes the full revamp and rebranding of the current shop, as well as the training from the franchisor and the joining fee. All the stock and assets also included.
Annual Turnover Amount between R 500 thousand and R 6 million