Sectors / Category

Annual turnover

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  • Mandate: 34210
  • Added: 10 Sep 2020
  • AFS
  • 113

Selling & Servicing of New and Used Trailers.

Western Cape, Helderberg & Winelands
113
Mandate 34210
Added 10 Sep 2020
R 1,050,000* ZAR
Stock: R 200,000
Assets: R 25,000
R 34,840 ZAR
Jaco du Plooy
(PRINCIPAL)
Aldes Compact
Western Cape
Western Cape
Summary

This 15 year established business is selling and servicing new and used trailers and has area agency agreements with the most prominent trailer manufacturers. They stock commercial, luggage, sports and off- road trailers. They also supply custom- built trailers and galvanized trailers to the industrial and agricultural industries. They also stock spares and parts for trailers.

SELLING PRICE AFS
R 1,050,000* ZAR
Stock: R200,000
Assets: R25,000
R 34,840 ZAR
Summary

This 15 year established business is selling and servicing new and used trailers and has area agency agreements with the most prominent trailer manufacturers. They stock commercial, luggage, sports and off- road trailers. They also supply custom- built trailers and galvanized trailers to the industrial and agricultural industries. They also stock spares and parts for trailers.

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Fully describe the business's activities?
Selling of leisure and commercial trailers New and Used. Selling of spares for the trailers. Service and repairs of trailers.

How long has the business been established?
The owner started the business in 2005 (15 years).

How does the business operate on a daily basis?
It is an owner run business and no employees currently.

How are the clients attracted to the business?
Marketing, word of mouth, repeat business.

What Advertising/Marketing is carried out?
They have a very active website. Advertising in the local newspapers.

Does the business have any contract work?
No contract work. The business has area agency agreements with prominent trailer manufacturers.

What competition exists?
There are similar businesses in town with a different focus.

What are the seasonal trends?
Leisure trailers are more popular during the summer/ holiday periods.

How did the Covid-19 pandemic impact the business turnover / daily operations?
The Covid- 19 pandemic did impact the business but due to the fact the business has no employees and low overheads it was absorbed quite easily.

Is the business VAT Registered?
Yes, the business is VAT Registered.

What VAT documentation is on file?
All relevant VAT documents are on file and available to qualified buyers.

Are there up-to-date Management Accounts available?
Up- to- date Management Accounts are available to qualified buyers.

What percentage of the business is cash/credit?
100% Cash business.

How could the profitability of the business be improved?
Currently all repairs are outsourced, owner to do self or employ a mechanic or technical person. Concentrate more on repairs. Built own custom made trailers. Add more product lines like bull bars, tow bars, camping equipment etc, etc.

Is Seller finance available and for what amount?
To be discussed.

What is the total staff complement?
No staff!

How involved is the Owner in running the business?
The owner is 100% involved.

When does the current lease end?
Current lease ends on 31 December 2023.

Is there an option of renewal & what period?
Option to renew for 3 years.

What are the trading hours?
Mon- Thurs 08h00- 17h00. Fri 08h00- 16h00. Closed over weekends. Closed on Saturdays currently. To be reconsider by new owner.

What is the square meters of the business?
The shop is +- 200 sqm. Fenced yard 90 sqm.

Is a copy of the lease available?
Yes, a copy of the lease is available to qualified buyer.

Do you require a licence?
License to trade as a Motor Dealer.

What lease deposit and/or other surety is required?
Deposit equal to 1 month's rental.

What are the main assets of the business?
Stock and office equipment.

Are any items not included in the sale?
All assets are included in the sale. There are some personal items of the owner stored on the premises not included in the sale but will be pointed out in advance!

What is their overall condition?
Good condition.

How have they been valued ?
Owners/ brokers valuation.

Are they presently insured?
All assets are insured.

Strengths?
Independent Dealer. Area dealer for strong, well known brands. Long established and well located in the motor hub of the area. Low overheads. Relative easy to run business. Most trailer stock is on consignment.

Weaknesses?
One man show, but can also be a strength in today's world!

Opportunities?
To do more repairs self. To expand on brands and product lines. To register to build own custom made products.

Threats?
Normal economic climate threat. A similar business in the immediate area for the last 7-8 years but it was proven clients shop around. This immediate neighbour is now a regular customer for spares.

What is the reason for the sale?
Owner has been in the industry for a long period and wants to make a change.

Why is this a good business?
Long established, profitable over an extended period, low overheads and easy to run business with relative low stock holding as some trailers in stock are on consignment.

What is the price plus stock and the profit?
Price R850,000 plus stock @ +- R200,000 = R1,050,000. Annual yearly profit for the year ended 29/02/2020 R418,078. ROI of 39,8%.

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FRANCHISE DETAILS

Aldes Compact

2 members
8 active mandates
Western Cape
Unit 41,Cape Cordonia,157 Beach Rd
7151

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