Sectors / Category

Annual turnover

  • Mandate: 35093
  • Added: 20 Dec 2021
  • AFS
  • 340

Spitbraai caterers priced to sell

Gauteng, Johannesburg
Mandate 35093
Added 20 Dec 2021
R 430,000* ZAR
Stock: R 0
Assets: R 199,550
R 25,521 ZAR
Wynand Wolmarans
Aldes Exceed
Gauteng, Sandton
Gauteng, Sandton

Traditional South African mobile braai and spitbraai caterers, catering for every and any event, from a birthday party to a wedding, and everything in between. This business focus on delicious food and our high standards of hygiene at all events. They provide a chef for the day and cater within a 700km radius from Gauteng.They also rent out equipment like stretch tents, tables and chairs.

R 430,000* ZAR
Stock: R0
Assets: R199,550
R 25,521 ZAR

Traditional South African mobile braai and spitbraai caterers, catering for every and any event, from a birthday party to a wedding, and everything in between. This business focus on delicious food and our high standards of hygiene at all events. They provide a chef for the day and cater within a 700km radius from Gauteng.They also rent out equipment like stretch tents, tables and chairs.

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Fully describe the business's activities?
The business specialises in mobile traditional South African braai/spitbraai catering from 15 to 1500 guests anywhere within a 700km radius from Gauteng.

How long has the business been established?
The current owner established the business 4 years ago.

How does the business operate on a daily basis?
The owner does all the purchases on Monday mornings for the weeks functions. Potatoes, salads and chicken is par-cooked by the owner the night before the function to save time on site. The owner sends 1 chef per 30 guests to site. The chef prepares all meals on site and serves guests. The chefs clean-up after the function and returns to the owner's premises. A typical function takes about 8 hours (from leaving the premises to returning to the premises). All chefs are sub-contractors and make us of their own transport. The owner trains all chefs at his premises. Training is in the form of video training, physical demonstrations by the owner and practical training. All chefs are charged out to customers and the customer pays a rate/km traveled to an from the premises. The company also rent out equipment such as stretch tents, furniture and jumping castles.Rentals are offered at a 50% discount to boost sales during non-peak periods. Most functions are weddings, special birthdays - 16th, 18th, 21st, 30th, 40th, 50th, 60th, 70th and 80th, year-end functions and corporate functions. The business also offers an Halaal option.

How are the clients attracted to the business?
Clients are attracted to the business vial social media advertising (approximately 80%) and word of mouth (approximately 20%). All advertising during January to August is based on "specials" with an expiry date - this works very effectively to lock-in customers. No specials are run during the peak period of September to December.

What Advertising/Marketing is carried out?
All marketing is done on social media, mostly Facebook and Tik Tok.

Does the business have any contract work?
No, but they have a lot of recurring clients.

What competition exists?
There is a lot of competition in the market. The efficient service and quality of food makes this business stand out in the market.

What are the seasonal trends?
September to December is generally the busy period due to the wedding season and year-end functions. January, February and the winter months (June to August) are generally much quieter.

How did the Covid-19 pandemic impact the business turnover / daily operations?
The lock-downs and social distancing had a severe impact on the catering industry. Since lock-down level 3 the business has steadily recovered.

What steps / actions have been taken to combat the effect of Covid-19 pandemic?
The business applied for an essential services certificate and applies all Covid-19 protocols at all their functions.

Is the business VAT Registered?

Are there up-to-date Management Accounts available?
The owner is employed full time and runs this business as a side-hustle. No accounting records are kept. The owner uses a separate bank account for the business and has provided 12 months bank statements (1 January 2021 to 15 December 2021) to support all income and expenditure. A very basic statement of income and expenses has been prepared using the 12 months bank statements.

What percentage of the business is cash/credit?
Customers must pay 50% deposit to secure a booking. The balance of 50% is payable 7 days before the booking.

How could the profitability of the business be improved?
- Increased focus on rentals. - Increase gross profit margins. - Inceased number of bookings.

What is the total staff complement?
The business currently has 10 sub-contractor chefs on their records. Chefs are paid per shift worked. There is never a shortage of staff available. One Facebook add for "shift workers" yields approximate 30 applicants. The business mostly make use of pensioners and unemployed people.

How involved is the Owner in running the business?
The owner takes responsibility for the day to day running of the business, all purchases, preparation, planning, logistics, quotations, customer liaison, adverting, customer retention and satisfaction.

When does the current lease end?
N/A - this is a 'work from home" business.

What are the trading hours?
The trading hours are aligned to the customer requirements, generally anywhere between 6am and 10pm.

Do you require a licence?
The business requires a certificate of acceptability for food premises.

What are the main assets of the business?
The main assets of the business are spit braais and rental equipment such stretch tents, tables, chairs, crockery and cutlery. A detail asset list is on file.

Are any items not included in the sale?
All items are included in the sale.

What is their overall condition?
Jumping castles material needs restitching, motors are in a good condition. Value of jumping castles in the asset list is based on the value of the motors only. All other assets are in great and working condition.

Do any require repairing?
Jumping castles needs to be restitched.

How have they been valued ?
The owner has assisted us with the valuation of all assets.

Are they presently insured?

- Business reputation. - Strong and constant presence and focus on social media advertising. - Low overheads. - Business model.

All social media is in the owners personal name and not in the business name.

More focus on marketing to corporate customers as this tends to brings in repeat business. Dedicated focus on on the business throughout the year should result in significant growth (the current owner is employed full time and rums the business on a part-time basis).

More Covid-19 lock-down restrictions.

What is the reason for the sale?
The owner is a full time sales executive with a demanding job in the oil industry and he is experiencing some health issues, as a result he has decided to scale down on his responsibilities.

Why is this a good business?
It is a niche catering business that is available 24/7 to serve its clients. The name is so unique that “search engines” on google and social media finds this business immediately. The secret is in the name which results in a lot of recurring business directly from these searches.

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