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Fri, Feb 28 2020 08:01:48 AM  |  /

Well Established & Profitable Office Furniture Company

Business Id:000377     |    Reference: AN046
Leasehold Price:
£700,000.00
Business Description

Well Established & Profitable Office Furniture Company
Ref. AN046
Location : Essex & London
Asking Price : £700,000 (inc. net assets)
Turner Butler has been appointed to invite offers of purchase for this established and highly profitable office furniture company that has an excellent customer base and established retail and website presence.
Business Profile
This business was set up by the owners 15 years ago and has developed a range of loyal customers ranging from small companies, larger corporates and over 20 schools.
The business has grown predominantly through word of mouth and repeat business. The owners have also invested significant funds into a website and targeted digital marketing and are ranked highly in internet search engines and in Pay Per Click (PPC) advertising.
Equipment:
The company has all the necessary equipment and infrastructure for a new owner including financial software, vehicles and equipment

 
Business Information
Turnover:£600,000.00 Annually
Property Status:   Leasehold
Is this business relocatable: No
Business Sector: Furniture & Wood, Furniture Shops, Office Suppliers
Statistic Information
Total Views:
Impressions:
Total Enquiries:
Last Viewed:
Last Updated:
Last Enquiry Made:
Business Profile
Equipment: The company has all the necessary equipment and infrastructure for a new owner including financial software, vehicles and equipment.
Key strengths: • Having successfully traded for many years this business has built up an enviable reputation based on service and delivery. • Superb customer base- highly desirable companies and schools. • Impressive levels of customer retention and repeat business. • Great High Street Retail presence and warehousing facilities • Excellent profitability • Huge scope for expansion • Excellent staff
Key Opportunities: The vendors have operated the business as owner managers and having established a solid track record with impressive profits are looking to offer the opportunity for new owners to grow the business further and use the current client base to expand sales. The model is simple and proven. The company has a prominent retail shop with a sales manger and significant and expandable warehouse facilities. The customer base could be developed further through dedicated sales and account management as many of the clients have additional sites and opportunities for cross selling particularly within local authorities and schools. There are many other opportunities for growth available including refurbishment, office clearance and promoting new office furniture.
Financial performance: The business is being offered for sale on a going concern basis, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler. The business achieved turnover circa £600,000 per annum last financial year. Resultant gross profits circa £300,000 per annum. Adjusted EBITDA was circa £190,000. Equally impressive figures have consistently been posted over previous years as the business enjoys high levels of repeat business from its loyal customer base. All plant and equipment owned by the business is included within the sale price (circa £120,000). There is huge potential to develop this business further.
Asking Price: The Asking Price of £700,000 including Net Assets is for 100% of the issued capital of the company, assuming Net Assets of £120,000. The final selling price will have a £1 for £1 adjustment for any rise or fall in this benchmark Net Asset figure of £120,0
Advertising and Marketing: The business has historically relied on repeat business and a large percentage of turnover is from existing clients. The owners have recently invested funds into a dedicated website and employed marketing agents to drive website traffic to their site through Search Engine Optimisation (SEO) and Pay Per Click (PPC) advertising through Google. This has started to produce impressive results but could be developed further by a new owner.
Growth and Expansion: Even though the business is well established there are significant opportunities to expand. The company does not employ any dedicated regional field sales representatives. The owners have only recently started to actively market on websites and digital platforms (Google, Gumtree, and EBay etc.) But there are significant growth opportunities in this area. There is huge demand for good quality used office furniture and there are a number of larger tender opportunities with local authorities and educational establishments to secure further longer term contracts. This is an ideal opportunity for an additional bolt on to an existing office furniture company or as a stand alone investment.
Premises: The business operates from rented warehouse and rental premises with excellent access to the road network. The warehouse and retail shop are on flexible terms that could be renegotiated or terminated depending on the new owners requirements.
Business Hours: Monday – Friday
Employees: The 2 owners work full time within the business, one is responsible for sales and finance and the other is responsible for operations. The business also employs a sales manger for the retail shop and a full time office furniture fitter. The owners have bu
Support and Training: The current owners would be happy to provide full support at handover and may be prepared to stay on for a further period should a new owner so require subject to negotiation.

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