Summary

Electrical wholesaler and retailer with good client base.

Give me more information

Fully describe the business's activities?

This business wholesales and retails electrical and solar components. They have recently moved out of a retail environment into a business park with more focus being applied to B2B and electrical contractors, this has in turn seen the business saving R500 000-00 in rental costs.

How does the business operate on a daily basis?

They supply electrical components to electrical contractors and other businesses. The business started off as an electrical component retailer, which evolved into an electrical wholesaler and retailer, boasting a number of large nationals as clients.

What Advertising/Marketing is carried out?

Facebook
Twitter
Instagram
Website
All the digital platforms and advertising is managed by an external service provider.

What competition exists?

There are other electrical suppliers, however this business is focused on supplying B2B and electrical contractors.

How could the profitability of the business be improved?

The business was moved from a retail space into a wholesale only premises which has resulted in a R500 000 annual saving.
The business needs to become a bigger player in the solar market and focus more on cheaper solutions to low income house owners.

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

1 manager
3 sales people
2 accounts
1 store manager
1 driver

Do any have management potential?

Yes, manager currently in place.

How involved is the Owner in running the business?

The owner is involved on a daily basis with large amount of flexibility.

When does the current lease end?

31 August 2026

What are the trading hours?

Mon - Sat 8am to 5pm.

What are the main assets of the business?

A comprehensive asset list will be made available to buyers on request.

Strengths?

Well established with solid client base.

Weaknesses?

The business needs a good external sales representative to get out of Midrand and look for business in the neighbouring areas too.

Opportunities?

Establish an e-commerce store.
Large opportunity to scale the business in B2B space.

Threats?

There are no real threats unless you don't keep enough stock and sell above the market prices. The staff here are very friendly with the customers and that gives them alot of buying loyalty from customers.