Fully describe the business's activities?
B and B in central Knysna
How long has the business been established?
How long has the owner had the business?
How are the clients attracted to the business?
Agents, portals and walk-ins by nature of location
What Advertising/Marketing is carried out?
Trade Show representation, online advertising and limited printed advertising
Does the business have any contract work?
Yes, via tour operators
What are the seasonal trends?
Summer months are busy, predominately October through to Easter The winter months May to September are significantly quieter
How did the Covid-19 pandemic impact the business turnover / daily operations?
Full impact as currently in lock down
Is the business VAT Registered?
Are there up-to-date Management Accounts available?
What percentage of the business is cash/credit?
90% payment by EFT and credit card Estimated 10% paid in cash
How could the profitability of the business be improved?
Reduction in wages after lock-down and an increase in marketing spend
What is the total staff complement?
7 full time with 2 part time
Give a breakdown of staff/ functions/ length of service?
General Manager Receptionist Night Manager Part time receptionists Cleaning staff
Are they on contract?
6 are employed and 2 contracted
How involved is the Owner in running the business?
Not in an operational role
When does the current lease end?
Is there an option of renewal & what period?
What is the annual escalation %?
Subject to negotiation of a new lease
What is the square meters of the business?
Approximately 700 sq meters
What lease deposit and/or other surety is required?
1 Months rental
What are the main assets of the business?
Furniture and fittings Kitchen equipment
What is their overall condition?
Good...all are in good working order
Do any require repairing?
How have they been valued ?
Owners second hand value in region of R430K
Are they presently insured?
Location in town is excellent as close to main center, secure off road parking Well known with good reputation
Impacted by the current lock-down
An Owner who was actively involved would reduce overheads and also be able to run the business more efficiently. Th new Owner should be prepared to accept the General Management function which will ensure the profitability of this business.
Currently the unknown impact of the Covid 19 virus
What is the reason for the sale?
The Owner has been affected by a number of personal issues and wishes to relocate The Owner also plays no role in the daily operation so needs to have a General Manager for the business
Why is this a good business?
This business is suited to a hands on operator and would then trade very well Unfortunately due to a number of circumstances the current business Owner is not the operator which impacts heavily upon the profitability If the Owner took on the responsibility of General Manager, a large saving could be made that would impact the bottom line positively
What is the price plus stock and the profit?
Selling price is R750K Stock is low in the region of R2,500
Annual Turnover Amount between R 500 thousand and R 6 million