Ref. No - BFS938270

LocationSouth Africa, Western Cape

Ref. No - BFS938270

Sector - Food

Asking Price
R1,370,000
Monthly Profit
R93,693
Asset Value
R 602,507
Stock Value
R 70,000
Yearly Net Profit
R 468,465

Summary

This business has minimal owner involvement. Located in a beautiful coastal town in an excellent location and is manager run. An authentic lifestyle business.

Give me more information

Fully describe the business's activities?

An independent Pizza and Burger Fast Food business in an awesome location in a beautiful coastal Overberg town. Manager run with all staff in place.

Give a breakdown between sit-down, takeaways and deliveries

The business is primarily a take-away business.

How does the business operate on a daily basis?

The business is manager run and the staff report to her. The owner does not work in the actual business but does ensure stock is correct and handles all advertising and marketing remotely.

What Advertising/Marketing is carried out?

Social media is used. There are 2000 followers on Facebook alone to which specials and new menu items are pushed as well as normal advertising for general awareness in the community. Food delivery platforms are also used which gives even more exposure.

What competition exists?

The nearest competition to this business is quite a few kilometers away. The location of this business is fantastic. It has a busy 24-hour petrol station as well as a a 24 hour supermarket right next to it. It is on a main arterial route at a busy intersection.

What are the seasonal trends?

It tends to be quieter in May and June winter months but picks up nicely in July because of school holidays. Easter and long weekends are good for business and there are a large number of visitors flocking into town in the summer months.

Are there up-to-date Management Accounts available?

Yes, there are up-to-date Management Accounts.

What Balance Sheet and Income Statements are available?

February 2026 AFS's are complete and on file.

What percentage of the business is cash/credit?

About 60% of purchases are by card and 40% cash.

How could the profitability of the business be improved?

This is a perfect business in which to open further stores and also to franchise. It has an excellent menu and food which lends itself to this type of expansion.

What is the total staff complement?

There a total of 10 fully trained staff members including a manager.

Are they on contract?

Yes, staff members have letters of appointment.

Do any have management potential?

There is already a manager in place.

How involved is the Owner in running the business?

The manager does not work in the store but he does work on the business with marketing and ensuring stock levels are correct etc. He only spends about 9 hours per week working on the business.

When does the current lease end?

The current lease ends in October 2028.

Is there an option of renewal & what period?

There is an option for renewal for a further period.

What is the annual escalation %?

The annual escalation is 8% per annum.

What is the square meters of the business?

The premises measure approximately 160 square meters.

Is a copy of the lease available?

Yes, a copy of the lease is available.

Do you require a licence?

Normal Health Inspectorate certificates which are all in place.

What lease deposit and/or other surety is required?

A deposit equal to two months rental will be required from the landlord.

What are the main assets of the business?

The main assets of the business are ovens, fryers, fridges, kitchen equipment, shop-fitting etc. An Asset List is available.

What is their overall condition?

Close to new.

How have they been valued ?

At current value/net realisable value.

Which assets are on lease/HP and with whom?

All assets are fully paid for. There are no leases or HP's in place.

Strengths?

Location. Location. Location. Busy intersection on a main arterial route - 24 hour garage and 24 hour supermarket located next to the business. Nearest opposition is quite a few kilometers away. Profitable and still growing. Excellent menu. Attractive prices. Manager in place who runs the store.

Weaknesses?

Although fairly new, the owner specialises in setting up new stores from scratch. He then builds it to profitability and exits. All his knowledge and know-how will be available to the new owner - from menus, to purchasing to management. He will advise and also ensure a thorough hand-over.

Opportunities?

Growth into further stores as well as franchising. It has the right menu and look to expand easily.

Threats?

None really. This is a great model for your life-style or even for growth.

What is the reason for the sale?

This is the owners model: He sets it up from scratch, builds it to profitability and then exits. All his knowledge and know-how of running an independent Fast Food business is passed on.

Why is this a good business?

Location, Location, Location. Beautiful coastal town. Life style business - owner not involved on a daily basis in the business. Nicely profitable.
Location

Contact | Enquire

Erich

Erich Haupt

LocationSouth Africa, Gauteng

Preferred method of contact

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