Ref. No - BFS938396

LocationSouth Africa, Eastern Cape

Ref. No - BFS938396

Sector - Services

Asking Price
R6,773,100
Monthly Profit
R107,290
Asset Value
R 890,000
Stock Value
R 4,773,100
Yearly Net Profit
R 1,287,479

Summary

Traffic communication, control, lighting and warning systems, supplied and supported nationwide. Trailer-mounted, solar-powered variable message signs for roadworks, diversions, incident management and public information. Manage messaging from phone or desktop and position the board for clear roadside visibility. Equipment selected for demanding road and construction environments. Selected contractor deployments across strategic routes, showing how roadside communication and speed-management equipment stayed relevant as works moved and conditions changed. The longest deployment in this group extended across two years. The business supplies VMS boards for changing warnings, directions and project notices, together with traffic huts that gave traffic teams defined roadside operating points. The combination supported both the motorist-facing message and the people responsible for day-to-day traffic activity

Give me more information

Fully describe the business's activities?

Sales and rentals of electronic road safety equipment

How long has the business been established?

2014

How does the business operate on a daily basis?

The operational side of the business is managed by the Owners husband on a full time basis

What Advertising/Marketing is carried out?

Website kept up to date, Google Ads and WhatsApp marketing to a contact list

What competition exists?

There is competition on a national basis although they too operate nationally.

What VAT documentation is on file?

As and when required.

Are there up-to-date Management Accounts available?

Yes

How could the profitability of the business be improved?

If the territorial coverage were improved by the addition of more staff or a rep, then sales could increase significantly.

Are they on contract?

Letters of Appointment are in place

How involved is the Owner in running the business?

On a daily basis

When does the current lease end?

December 2026

What are the trading hours?

07.00 to 16.30 Monday to Friday

What are the main assets of the business?

Equipment for the road construction industry.

What are their settlement amounts?

There are 5 Vehicles under finance with Westbank....total of R580,000

Are they presently insured?

Yes

Strengths?

They supply specialised equipment to the road construction industry....Sales and rental of equipment.
This is a specialised business and not an easy route to enter the market
Quick turnaround on repairs of clients equipment and reasonably priced ensures repeat clients.

Weaknesses?

Distance from market of this business can be a problem as they are Eastern Cape based currently

Opportunities?

There are opportunities for business development if more staff are employed and marketed to the SMME Road Construction Industry.
Relocate this business closer to the major towns and it will should significant growth.

Threats?

The fact that the business is only a Level 4 BEE status does impact negatively at times.

What is the reason for the sale?

The business Owners intend to retire once the business has changed hands.

Why is this a good business?

This is a unique business with very limited competition.
Ideally it should be relocated closer to a major town where there is significant road works activities taking place.
Location

Contact | Enquire

Noel

Noel Heath

LocationSouth Africa, Western Cape

Preferred method of contact

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