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LocationSouth Africa, Gauteng

Sector - Manufacturing

Asking Price
R9,750,000
Monthly Profit
R 214,603
Asset Value
R 5,428,116
Stock Value
R 2,000,000
Yearly Net Profit
R 2,575,241

Summary

Both industrial and household markets are provided for by this well established manufacturer in Pretoria.

Give me more information

Fully describe the business's activities?

This business is a manufacturer of industrial and household chemicals and also supplies cleaning equipment, products and paper. It also has a retail outlet.

How does the business operate on a daily basis?

It operates 8 hours per day during the week, 4 hours on Saturday and is closed on Sundays

What Advertising/Marketing is carried out?

Digital marketing (Google and Facebook)

What competition exists?

There are a number of competitors addressing the same market segments

How could the profitability of the business be improved?

It could be further mechanised and automated.
The ability to tender for government and large corporate contracts will make a significant difference
Grow the distribution network into the rest of the country

Give a breakdown of staff/ functions/ length of service?

The breakdown of staff:
- Management and administration 7
- Sales 3
- Retail sales staff 3
- Maintenance 1
- Production 8
Average length of service is 8 years

Do any have management potential?

Yes

How involved is the Owner in running the business?

Daily.
Overall management of the business with specific focus on production, sales and maintenance.

When does the current lease end?

30 June 2020

What are the trading hours?

07.30 to 16.30 Monday to Friday, Saturday 8.30 to 12.30 and closed on Sundays

What are the main assets of the business?

Intangible - chemical formulas / recipes
Tangible - plant, office equipment, furniture and fittings and vehicles

Strengths?

The business is SABS ISO9000/15 certified
It is a business that has been trading successfully for 28 years
Very strong brand in the industry
Quality products
Strong staff complement

Weaknesses?

BEE rating is not optimal and the business is not able to compete effectively for government and large corporate business

Opportunities?

Additional retail outlets can be opened
The BEE rating is currently Level 3. A higher level will provide significant additional sales and tender opportunities.

Threats?

None

What is the reason for the sale?

The owner is retiring

Location

Contact | Enquire

Ian

Ian Tennant

LocationSouth Africa, Gauteng

Preferred method of contact

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