Ref. No - BFS938099

LocationSouth Africa, Western Cape

Ref. No - BFS938099

Sector - Retail

Asking Price
R3,160,000
Monthly Profit
R57,571
Asset Value
R 1,844,793
Stock Value
R 160,000
Yearly Net Profit
R 690,849

Summary

A rare opportunity to acquire a previously national food retail brand with strong recognition and proven scalability. Includes an operational store and full franchise rights, offering immediate income and significant expansion potential across South Africa.

Give me more information

Fully describe the business's activities?

Established food retail concept with a proven national footprint (previously scaled to ±60 outlets).
Core activity: sale of high-demand, everyday food products to walk-in customers.
Revenue streams include in-store retail sales and future franchising opportunities.

Operations include:

Procurement of food products from suppliers
In-store merchandising and point-of-sale transactions
Staff-managed daily retail operations
Brand-driven customer experience
Strong foundation to relaunch as a scalable franchise model with centralised systems and standardised store formats.

How does the business operate on a daily basis?

Operates as a structured, process-driven retail outlet focused on high-volume daily sales.

Daily activities include:

Opening procedures, stock checks and cash float preparation
Continuous customer service and point-of-sale transactions
Active merchandising and shelf replenishment
Supplier deliveries and stock receiving
Staff supervision and shift management
Daily cash-ups and basic financial controls
Systems and workflows are standardised, allowing easy replication across multiple outlets.
Model is designed for owner-managed or supervisor-led operation, supporting future franchise scalability.

What Advertising/Marketing is carried out?

Marketing is primarily driven through social media platforms, offering cost-effective and targeted customer reach.

What competition exists?

Limited direct competition within this specific product niche, creating a strong market positioning advantage.

Indirect competition includes:

National retail chains offering overlapping product ranges
Independent food retailers with partial product overlap
Convenience stores targeting similar customer segments

Competitive advantage:

Specialised product focus not fully replicated by competitors
Established brand recognition from previous national presence
Ability to position as a destination store rather than a general retailer
Opportunity to dominate a niche segment with focused execution and franchising rollout.

How could the profitability of the business be improved?

Strong opportunity to increase basket size and margins through product expansion.

Immediate opportunities:

Introduce a coffee offering to drive foot traffic and repeat visits
Add complementary food lines to increase average spend per customer
Bundle deals and combo pricing to boost transaction value

Operational improvements:

Optimise supplier pricing and bulk purchasing
Improve stock management to reduce waste and shrinkage
Implement upselling at point of sale

Strategic upside:

Roll out standardised product mix across franchise model
Leverage brand to introduce high-margin private label products

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

1 - Manager
2 - Shop Assistance
1 - Storeroom Assistant

Do any have management potential?

Manager

How involved is the Owner in running the business?

Totally involve

When does the current lease end?

Feb 2027

What are the trading hours?

Mon - Fri 09:00-17:00
Sat 08:30 - 14:00
Holidays 08:30 - 13:00

What are the main assets of the business?

Shelving
Freezers
Desks
POS equipment
Coffee Machine

Strengths?

Established brand with prior national footprint (±60 stores)
Niche positioning with limited direct competition
Proven, scalable retail model suited for franchising
Existing store provides immediate trading platform

Weaknesses?

Brand impacted by previous liquidation
Requires capital to relaunch and rebuild network
Systems and structures may need re-establishment

Opportunities?

Franchise rollout across South Africa
Product expansion (e.g. coffee, complementary food lines)
Strong upside through modern digital marketing
Ability to reclaim market share quickly

Threats?

Larger retail chains with overlapping offerings
Execution risk in relaunch phase
Economic pressure on consumer spending

What is the reason for the sale?

The owner is exiting due to health challenges that are limiting his ability to remain actively involved in daily operations.
Location

Contact | Enquire

Elmo

Elmo Lombard

LocationSouth Africa, Western Cape

Preferred method of contact

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