Fully describe the business's activities?
This is a unique freight business that distributes pre-ordered and paid for processed meat products to communities in Mpumulanga from the factory in Johannesburg. It has an extensive list of customers who order via Whatsapp. The business assets comprise a late model Mahindra pick-up truck and trailer. A driver is employed and deliveries are undertaken twice a week.
How long has the business been established?
It is in its 4th year of operations
How long has the owner had the business?
How does the business operate on a daily basis?
7.00 to 18.00
How are the clients attracted to the business?
Word of mouth and referrals from the factory
Does the business have any contract work?
What competition exists?
No direct competition. The alternative for clients is return taxi transfers to Johannesburg to personally collect their product
What are the seasonal trends?
Constant demand but December and January are less busy
Is the business VAT Registered?
Are there up-to-date Management Accounts available?
Yes, with supporting bank statements
What percentage of the business is cash/credit?
How could the profitability of the business be improved?
Grow client base (which continues to grow every month)
Is Seller finance available and for what amount?
What is the total staff complement?
Four that comprises the owner, driver and his assistant and admin clerk
Are they on contract?
How involved is the Owner in running the business?
Very involved as he manages the daily operations
When does the current lease end?
No applcable. The business is run from home
What are the trading hours?
Sales and administration - 7.00 to 18.00 daily Driver and assistant - work two days per week
Do you require a licence?
What are the main assets of the business?
The Mahindra pick-up truck and trailer
What is their overall condition?
Very good condition, 2020 models
Which assets are on lease/HP and with whom?
THe Mahindra is on HP which will be settled by the owner on sale of the business
What are their settlement amounts?
Will Seller settle or Buyer to take over?
The Seller will settle
Are copies of agreements available?
Are they presently insured?
Unique business with no competiton Has an extensive client list which grows month on month
No obvious weaknesses
Could grow more aggressively with more sales effort and focus on new areas
No obvious threats
What is the reason for the sale?
Owner wanting to concentrate on his other business.
Annual Turnover Amount between R 500 thousand and R 6 million