Wholesaler of Curios - Importer, Exporter, Manufacturer. Northern Suburbs of Johannesburg.

Asking Price

R7,500,000

Monthly Profit

R203,076

Asset Value

R 600,000

Stock Value

R 4,132,000

Yearly Net Profit

R 2,436,912

Summary

The business operates and sources, purchases, restores and modifies African craft and related objects for resale to the trade and tourism industries. Supplies large corporates and others in the tourism sector countrywide and abroad.

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Fully describe the business's activities?

The business business operates and sources, purchases, restores and modifies African craft and related objects for resale to the trade and tourism industries.

How long has the business been established?

The business was established in 2003 and has therefore been operating for 22 years.

How does the business operate on a daily basis?

The business operates from an upmarket shop/showroom in the Northern Suburbs of Johannesburg and also has a workshop just east of the city centre. The staff open and close and their is a Sales Manager in place at the showroom/shop and a manager also at the workshop./

How are the clients attracted to the business?

The Manager works on both existing clients, which are numerous, as well as bringing in new business.

What Advertising/Marketing is carried out?

Social media such as Instagram is used. WhatsApp groups are also used to inform clients of new stock and specials etc.

Does the business have any contract work?

Although not contracts as such the larger clients replenish their stock twice a year. These orders can be as large as R300k to R400k at a time. Mauritius hotels also replenish often and the business is the preferred supplier to a number of hotels.

What are the seasonal trends?

August to December is very busy. In April, May and June there tends to be another spike in sales.

Is the business VAT Registered?

Yes, the business is VAT registered.

What VAT documentation is on file?

Normal VAT returns and recons are on file.

Are there up-to-date Management Accounts available?

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

What Balance Sheet and Income Statements are available?

AFS's for February 2025 are available.

What percentage of the business is cash/credit?

Clients tend to be companies so mostly pay by EFT.

What is the age analysis of the debtors book?

Up to 60 days. Any exports the customer has to pay C.O.D.

How could the profitability of the business be improved?

By really investing in more marketing and maybe utilising experts in the field of social media.

What is the total staff complement?

In the Shop/Showroom there are 6 x Staff and there are 10 X Staff in the Workshop,

Do any receive special perks or incentives?

Only at management's discretion but there are performance bonuses in place.

Are they on contract?

Yes, the full time staff have letters of appointment.

Do any have management potential?

Yes.

How involved is the Owner in running the business?

The owner operates in a strategic role and spends about 80% of their time in the business - mostly off-site.

When does the current lease end?

The business operates from a showroom/shop in the Northern Suburbs and the Seller the property and is happy to enter into a lease agreement with a new owner.

What are the trading hours?

Monday to Thursday: 8.00 am to 5.00 pm. Friday: 8.00 am to 4.00 pm.

What are the main assets of the business?

Computers, shelving and racking, displays, office furniture, workshop equipment.

Which assets are on lease/HP and with whom?

All assets are fully paid for.

Strengths?

History. Well-known. Consistently good quality. Amazing and loyal staff. It is the leader in reputation in this market. Good stock-holding,. Can supply easily from stores when required.

Weaknesses?

Marketing in all areas can be improved. Am e-commerce website could take this business onto a much higher level of turnover. This can be integrated into the stock system which apparently very user-friendly and adaptable.