Online Accessories & Craft Store. Good Profits. Repeat Clients. Good Stock. Flexible. Relocatable.

Asking Price

R2,500,000

Monthly Profit

R73,324

Asset Value

R 240,000

Stock Value

R 1,100,000

Yearly Net Profit

R 879,882

Summary

This Online Store is well-known in it\'s marketplace, has repeat customers, good sellable stock and supplies customers throughout the country. It can operate from anywhere because of its online presence.

Give me more information

Fully describe the business's activities?

This is an Online Store which supplies a wide range of products from keyring accessories to crafting and other accessories. Clients are across the board and consist of printing companies, DIY enthusiasts and consumers in the enhancement of personal products. The array of products is designed to spark creativity and add a personal touch to products.

How long has the business been established?

The business was established in 2006 and has been operating for 19 years.

How does the business operate on a daily basis?

The business operates a very active webpage with e-commerce functionality regarding ordering and payments etc.
The owner is involved in purchases and is in the business daily together with the staff.

How are the clients attracted to the business?

Google Adwords as well as social media such a s Facebook are used to drive business to the website. Word-of-mouth is also very strong for this business.

What are the seasonal trends?

The busiest times are September, October and November of each year but there are consistent orders throughout the year.

Is the business VAT Registered?

Yes, the business is VAT registered.

Are there up-to-date Management Accounts available?

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

What percentage of the business is cash/credit?

Payment is made by clients before collection or delivery.

How could the profitability of the business be improved?

A shop in a good area with visibility would make a big positive difference to the Turnover and therefore the Net Profit of the business.

What is the total staff complement?

There are three staff members plus the two owners

Do any have management potential?

Yes, there is a staff member who can potentially take on this role.

How involved is the Owner in running the business?

The owners are involved in the business on a daily basis.

When does the current lease end?

The business is currently run from the owners home. The owners have investigated moving into a shop-front type presence which they believe will help increase the Revenue and therefore Net Profit.
They will share their findings with a new owner as to premises and costs etc if the new owners wish to go this route. Rent has already been provided for in the expenses at about R20K per month.

What are the trading hours?

Monday to Friday: 8.00 am to 5.00 pm.

What is the square meters of the business?

The current space utilised is about 100 square meters.

What are the main assets of the business?

2 x Desktop Computers, Tables, Chairs, Shelving.

Are they presently insured?

Yes, the business is currently insured.

Strengths?

This Online Store has an excellent presence, is well-known in the market, has good history, is very flexible and is relocatable to anywhere.

Weaknesses?

If more capital was available then more variety of stock could be purchased which will make a positive difference to Revenue and Profits.

Opportunities?

Use of the "Product Request" function on the website - monitor it and listen to what your clients are asking for when you interact with them. Growth of marketing and stock variety would enhance business income.

Threats?

One has to continue marketing but this could be a very nice growth opportunity with more marketing across the board: Google, Facebook, Instagram etc.

What is the reason for the sale?

The owners are relocating.

Why is this a good business?

Nicely Profitable. With extra marketing this business can grow exponentially. Great history in the marketplace. Well-known. Repeat clients. Flexible. Movable.