Fully describe the business's activities?
Husband and wife team that manufacture, package and deliver popcorn to about 70 regular clients which consist of schools and small shops. Clients mainly located in Gauteng with few in Rustenburg and Bronkhorstspruit
How long has the business been established?
Owners started the business 8 years ago.
How does the business operate on a daily basis?
The business operates from home where the popcorn are manufactured daily, packed and delivered to clients Owner uses WhatsApp to confirm orders
How are the clients attracted to the business?
Word of mouth. Cold calling
What Advertising/Marketing is carried out?
How did the Covid-19 pandemic impact the business turnover / daily operations?
The business did not trade for March, April and May
Is the business VAT Registered?
No, turnover below VAT threshold.
Are there up-to-date Management Accounts available?
Cash intensive business. Not everything has been recorded but daily records have been compiled as far as possible. For this report average cost of sales figures were used but this does differ on a daily basis.
What percentage of the business is cash/credit?
70% Cash 30% EFT
How could the profitability of the business be improved?
Areas like Hammanskraal and Soshanguve can be explored
Is Seller finance available and for what amount?
No, cash offer.
What is the total staff complement?
The business did employ 4 staff members a few years ago but found that too much stock was used and for the last couple of years has been operated only by the owner and his wife.
What is the square meters of the business?
Owner operates from his house and limited space is needed.
What are the main assets of the business?
2 x gas bottles, 2 steam cookers, 2 x tables, sealer and a few utensils
Super low overheads Can determine own working hours, currently half day with some Saturdays used for further deliveries No staff Work from home
None were identified
More areas can be serviced
What is the reason for the sale?
Owners wish to relocate to the coast.
Why is this a good business?
Easy to operate from your home with room to grow.
What is the price plus stock and the profit?
R320 000 includes R5000 stock (1xweek) and an average net profit of R20 000 per month
Annual Turnover Amount between R 500 thousand and R 6 million