Fully describe the business's activities?
The business is a certified non-commercial producer of biodiesel and other by-products Used cooking oil is collected by the business in a large geographical area This oil , that is hazardous for human consumption , is then refined through chemical processes This recycled , environmental friendly Diesel is then sold at a discount to loyal customers that includes schools / farms / courier companies and private users
How long has the business been established?
The business was established in 2010 It started as a initiative to limit the environmental impact of commercial waste , while provide the local community with a business opportunity
What steps are in place to solve 'load shedding' problems?
The business is fortunate to be on a "" solar - line "' together with another essential services business - no load shedding
How does the business operate on a daily basis?
The business is purchasing used oil from businesses as a registered oil collector It is then refining it at the business premises into Bio Diesel & by products The products are sold to consumers Bio-fuel blend at a fuel pump Glycerol byproducts Concrete release chemicals
How are the clients attracted to the business?
The business is maintaining a very good relationship with its "" crude "' oil suppliers The business is the preferred agent to collect the oil Enviro conscious consumers prefer their fuel blend
What Advertising/Marketing is carried out?
The business has an active Facebook page
Does the business have any contract work?
The business has a solid client base which continuously supplies the business with used cooking oil. There are loyal enviro conscious institutions and individuals that support the business
Is the business VAT Registered?
The business is VAT registered . The business operated under a CC.
What VAT documentation is on file?
The business are keeping an accurate financial system that is in good standing with SARS
What percentage of the business is cash/credit?
The business is selling as follow : 30% to certain wholesale clients on 30 days 30% to courier and construction companies 30% cash sales on site
How could the profitability of the business be improved?
* The nett profit from the Diesel sales is linked to the increase of national fuel prices * With the possible disruption of the fuel supplies - an independent fuel supplier will be able to secure supply and at higher margins * There are a global push towards a regulated blend of a % Bio fuels with fossil fuels * The business is finalizing their proses of manufacturing a range of cleaning detergence using the Glycerol as a by-product * The business is selling a "" concrete release "" product used in the construction industry
What is the total staff complement?
The core of the business is the team of 5 General manager Production manager 3 x member collection team
Do any receive special perks or incentives?
The collection team is receiving incentives for collecting above the set goals
How involved is the Owner in running the business?
The owner is overseeing the business He is making strategic decisions , motivate the team and oversee the finances
When does the current lease end?
The seller is in good standing with Landlord - although only a month to month agreement is in place As part of the agreement the business is also offered the opportunity to purchase fossil fuel from the landlord for the "" Bio Diesel Blend Mix ""
Is there an option of renewal & what period?
The purchaser will have to sign a new lease with the landlords or he may choose to relocate the business. The prospective new owner will be liable for the costs in and surrounding the drafting of a new lease with the landlords.
What are the trading hours?
The business trades from Monday to Friday normally but if required the drivers travel when necessary.
Is a copy of the lease available?
There is a copy of the lease agreement on file . The business currently operates on a supply and cash input to the landlord.
Do you require a licence?
The business is registered as a "" Certified Non-Commercial Producer of Biodiesel "" The business is exempted from the national fuel levy Quality tests are conducted as pre-scribed The business has recently upgraded their fire and security systems
What are the main assets of the business?
The assets of the business are the unencumbered property of the seller . There is an asset list on file readily available for perusal by a qualified buyer. The assets as seen and listed on the inventory are all included in the sale and purchase price of the business Included amongst these assets are processors, Diesel storage tanks chemical storage tanks, compressor, flo bins, pump for pumping oil, office furniture, 2x Ford Bakkies, trailer and office amongst.
How have they been valued ?
The assets has been valued by the seller at a fair value
Independent supplier of Diesel fuel at below market price Environmental friendly "" Green "" business Loyal and effective staff
Loyal customers - looking at quality products with a negative enviro footprint More eco friendly bi-products from waste
Good relations with the suppliers are very important to ensure the supply of crud oil
What is the reason for the sale?
The Seller want to invest more capital into the other Agri projects he is involved in
Why is this a good business?
This is a profitable / low impact / green / environmental sound business that is producing an essential consumer product ( diesel fuel ) to a growing market at a competitive price
What is the price plus stock and the profit?
Selling at R 3.3 M Annual profit @ R 770 000
Discover similar, inspiring businesses for sale
Annual Turnover Amount between R 500 thousand and R 6 million