Fully describe the business's activities?
A family-run restaurant with an Art Gallery established in 2007 with a well-designed menu targeting the needs of the local community and holiday visitors in season. The activities of this restaurant is typical to that of a normal restaurant, with early morning stock-taking of fast moving stock, placing orders and preparing for dishes as per the menu.
How long has the business been established?
Since 2007, but the owner has been in the hospitality industry for 30 years.
How long has the owner had the business?
The owner has had the business for 3 years
How does the business operate on a daily basis?
Staff enter at 7:30am, do daily stocktaking of fast moving stock, place orders as requested , prepare and serve meal as per menu.
How are the clients attracted to the business?
A very well known restaurant/Coffee shop. Affordable meals with excellent value for money and friendly service.
What Advertising/Marketing is carried out?
Social media, local banner and runner advertising, word of mouth and periodic specials.
Does the business have any contract work?
No contract work.
What competition exists?
Limited competition from other local restaurants.
What are the seasonal trends?
Huge upwards spike in December and January . Easter week-end also busy and remainder of year consistent.
Is the business VAT Registered?
No, Business is not VAT registered.
Are there up-to-date Management Accounts available?
Up to date management Accounts available.
What Balance Sheet and Income Statements are available?
The business is a Sole proprietorship, so only management Accounts available.
What percentage of the business is cash/credit?
How could the profitability of the business be improved?
Longer trading hours especially over weekends and public holidays.
Is Seller finance available and for what amount?
The seller is prepared to give a 20% financing on the sale.
What is the total staff complement?
2 chefs, 1 dishwasher, 4 week-end kitchen casuals,4 Permanent waiters plus 2 week-end casuals.
Give a breakdown of staff/ functions/ length of service?
Are they on contract?
All permanent staff on permanent contract.
Do any have management potential?
The supervisor and head waiter show excellent managerial skills.
How involved is the Owner in running the business?
The owner is 100 % involved in the running of business.
When does the current lease end?
The current lease expires in December 2019, but the tenant has first refusal to renew his contract.
Is there an option of renewal & what period?
Yes, There is an option to renew.
What is the annual escalation %?
Annual escalation of 8% on the rental amount.
What are the trading hours?
Mondays closed. Tuesday 8 till 4 pm. Wednesday 8 till 2 pm. Thursday 8 till 4 pm. Friday 8 till late. Saturday and Sunday 8 till 2 pm.
What is the square meters of the business?
The Restaurant and Gallery is 420m2. The open area consists of Tearoom and Kiddies play area of 220m2.
Who is the Owner/Landlord?
The owner of the premises is Mr Rulan Heunis.
Is a copy of the lease available?
Yes, a copy of the lease is available.
Do you require a licence?
A liquor licence is required. a new owner may trade on the old owners liquor licence till his is approved.
What lease deposit and/or other surety is required?
A one month rental lease deposit is required.
What are the main assets of the business?
The main assets is the loyal staff and local patrons that support the business. The restaurant has a charm of it's own, the menu is well designed and proper costing is done on the offering.
Are any items not included in the sale?
All items on the Asset list is included in the sale.
What is their overall condition?
All equipment and furniture is in excellent working condition.
Do any require repairing?
No repairs required at this stage.
How have they been valued ?
They have been valued at a realistic market related value.
Which assets are on lease/HP and with whom?
All assets are fully paid.
Are they presently insured?
All Assets and Equipment are insured.
This business is well established and the owner boasts with 30 years in the food and restaurant business. This business is established, well situated and profitable with a seating capacity of 150 seats. The seller guarantees his out of season turnover (averaged) This restaurant is not franchised which is the ideal business for someone with a creative flair in the cooking and entertaining environment.
This restaurant /Art gallery is situated in a coastal town resulting in seasonal trends.
Great opportunity for a creative chef and entertainer.The business is well established, profitable and has special offerings on certain evenings which is well supported by the community.
This business is compliant in every respect and high health and Hygiene standards are maintained.
What is the reason for the sale?
The owner wishes to retire after 30 years in the hospitality industry. He is a serious seller and has marked his business to sell.
Why is this a good business?
The business is established and profitable. The menu has been designed to meet the expectations of the local residents and holiday seekers in high season. Thorough costing is done on all the offerings on the menu and strict management controls are enforced. The staff are loyal, well trained, friendly and purvey the interests of the restaurant.
What is the price plus stock and the profit?
The Estimated net profit of this business for December is estimated at R 420 000. therefore should a buyer buy before 1 December 2019 the asking price is R 1 395 000 and after 31 January 2020, the asking price is R 995 000. The stock holding is approximately R 20 000.
Annual Turnover Amount between R 500 thousand and R 6 million