Ref. No - BFS937436

LocationSouth Africa, Western Cape

Ref. No - BFS937436

Sector - Retail

Asking Price
R2,200,000
Monthly Profit
R60,826
Asset Value
R 593,782
Stock Value
R 0
Yearly Net Profit
R 729,906

Summary

This successful signage and digital media business offers tailored solutions to a wide range of clients. With a reputation for quality, innovation, and reliability, it is supported by a skilled team and modern equipment. Positioned for growth, this is an ideal opportunity for investors or entrepreneurs seeking a profitable venture in the signage industry.

Give me more information

Fully describe the business's activities?

This business excels in signage design, manufacturing, and installation, serving 2,500 clients with tailored solutions such as business cards, posters, laser-cut letters, and vehicle branding.

Key highlights include a client-focused design process, 100% upfront payment for signage, and vibrant print media services. While vehicle wrapping isn’t offered, weekly inquiries signal untapped growth potential.

Services range from signage and print media to frosted vinyl installations, meeting diverse branding needs with precision and quality.

How does the business operate on a daily basis?

DAILY OPERATIONS OVERVIEW
EARLY MORNING START
The day kicks off with laser cutting to ensure production stays on track.
Prep cut files in advance for scheduled installations.

PRODUCTION AND DESIGN WORKFLOW
Apply vinyl to materials, ensuring top-quality results.
Organise and prepare orders for installations later in the day.

CLIENT COMMUNICATION AND ORDER PROCESSING
Send WhatsApp updates to clients who have installations scheduled.
Capture all WhatsApp orders in the system for proper tracking.
Submit label jobs for production to meet deadlines.

FOLLOW-UPS AND QUOTATIONS
Respond to emails as a matter of urgency to keep things moving.
Provide detailed quotes to potential clients.
Request photos of installation sites, including vehicles, for precise planning.

QUICK TURNAROUND AND PROJECT MANAGEMENT
Prioritise a quick turnaround to meet client expectations.
Use an advanced project management tool to track the full history of customer interactions and projects.

FIELDWORK AND CLIENT INTERACTION
Conduct installations professionally and efficiently.
Assist walk-in clients with personalised service and solutions.
Perform site visits to inspect and prepare for upcoming installations.

This routine showcases the business’s dedication to efficiency, quality, and top-tier customer service, ensuring smooth and productive operations throughout the day.

What Advertising/Marketing is carried out?

ADVERTISING AND MARKETING STRATEGIES

VEHICLE BRANDING
Professionally branded vehicles act as mobile billboards, spreading awareness of the business wherever they travel. This cost-effective strategy ensures visibility in various locations throughout the day.

INTERNET PRESENCE
A strong online presence through a highly effective website and active engagement on social media platforms attracts clients and showcases the business’s expertise.

ORGANIC GROWTH APPROACH
The business currently relies on organic methods for advertising, with no paid advertisements. The focus is on leveraging existing channels, such as word-of-mouth, website inquiries, and walk-in customers.
This approach ensures consistent brand visibility while keeping advertising costs low.

What competition exists?

COMPETITIVE LANDSCAPE

MARKET COMPETITION
There is significant competition in the industry; however, the demand is strong, with enough work to sustain multiple businesses.

DIFFERENTIATION
Competitors often focus on different aspects of the market, allowing the business to carve out its own niche.

COLLABORATION WITH COMPETITORS
The business supports smaller competitors by providing printing services, creating an additional revenue stream and fostering industry relationships.
This approach positions the business as both a competitor and a valuable collaborator within the industry.

Systems?

The business is fully systemised, with client order records meticulously maintained since 2013.

How could the profitability of the business be improved?

OPPORTUNITIES TO IMPROVE PROFITABILITY

FORMING PARTNERSHIPS
Entering into partnerships could allow the business to take on double the workload, increasing revenue without a proportional increase in overheads.

PROACTIVE CLIENT FOLLOW-UP
Regularly following up with existing clients can uncover additional work opportunities and boost repeat business.
Implementing these strategies could significantly enhance the business’s profitability and growth potential.

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

STAFF BREAKDOWN

OWNER
Manages the overall business operations and client relationships.

ADMIN
Handles accounts, invoicing, graphics, and neon sign production.

DESKTOP PUBLISHER / DPT OPERATOR
Responsible for design, printing, and desktop publishing tasks.
Also assists with general business duties and workflow organisation.
Joined the business 1 year ago.

APPLICATOR
Specialises in lights, installations, vinyl applications, frameworks, and wiring.
This team structure supports efficient daily operations and service delivery.

Do any have management potential?

No

How involved is the Owner in running the business?

Full time

When does the current lease end?

Year to year R9500

What are the trading hours?

Mon 08:00 - 17:00
Sat by appointment

What are the main assets of the business?

MAIN ASSETS OF THE BUSINESS
Essential equipment required to operate the business efficiently, including machinery for laser cutting, vinyl application, printing, and installations.
Tools and materials used for signage, lighting, and framework installations.

These assets enable the business to deliver high-quality products and services consistently.

Strengths?

➡️ Their advanced project management system is a key strength, allowing them to recall any client’s project history going back up to 24 years, ensuring excellent customer service and continuity.
➡️ Well-established daily operations with efficient workflow from laser cutting to installation.
➡️ Strong client communication through WhatsApp and a robust project management system.
➡️ Effective website generating almost daily inquiries.
➡️ Mobile advertising through professionally branded vehicles.
➡️ Good mix of walk-in, drive-by, and online customers.
➡️ Flexible payment terms with 80% upfront payments.
➡️ Experienced and multi-skilled team supporting various business functions.
➡️ Listed on Western Cape Government RFQ database, offering potential contract opportunities.

Weaknesses?

➡️ No current contract work, which could provide more steady income.
➡️ Limited marketing with no paid advertising at this stage.
➡️ Reliance on organic growth may limit rapid expansion.
➡️ Seasonal fluctuations with a quieter start to the year.

Opportunities?

➡️ Potential to double workload through strategic partnerships.
➡️ Increased follow-up on existing clients could generate more repeat business.
➡️ Growing demand leading up to festive seasons, especially from wine farms.
➡️ Leveraging government RFQ listings to secure contracts.
➡️ Expanding digital marketing efforts to reach a wider audience.

Threats?

➡️ High competition in the market, although demand is sufficient for all.
➡️ Competitors focusing on different market segments and some also providing printing services.
➡️ Economic factors impacting client budgets and spending patterns.

What is the reason for the sale?

The owners are selling the business because they plan to relocate abroad.
Location

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Elmo

Elmo Lombard

LocationSouth Africa, Western Cape

Preferred method of contact

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