Description:

Due to retirement

Flexible Leasehold Premises

Asking Price: £95,000 + SAV

Asking Price includes:

Turnover circa £250,000 per annum
Resultant gross profits are circa £100,000
EBITDA £40,000
Stock is circa £40,000
Sharpening Service + UK Sales
SUPERB CUSTOMER BASE - APPROX. 50/50 SALES & SERVICE RATIO
Reputation and goodwill built on in-house knowledge. Investment and skill base over 42yrs within a niche market. Partial Saw Doctor Work Shop supported by contracting out arrangement that works perfectly
Flourishing Trade Counter with Trend Agency
Huge potential for growth and development into all markets via Internet, Delivery & Collection Vans
Trade Counter and Courier supported by established agencies from Manufacturers & Suppliers throughout Europe

MEMBER OF THE SAW DOCTOR ASSOCIATION

Business profile:

This Business Sells and Sharpens a broad range of Industrial Cutting Saws, Blades, Machine Knives & Tools used by a wide range of Industrial & Commercial Companies.

Income coming from approximately 50% Sales & 50% Repair & Sharpening.
These items can be considerable in price to purchase so with regular sharpening prolongs the cutting edge life.

This is a family business started in 1972 and has continued ever since delivering exceptional service. Offering a service for those cutting Wood, Metal, Paper, Plastic, Meat, Cloth, Stone, Forestry, misc. etc.

Deliveries and collections are undertaken within a catchment area and supported by its busy Trade Counter.

This cornpany currently has a subcontract arrangement with another prominent business within the same Industry that undertakes the major share of the repair & sharpening side of the business. This work has in the past always been carried out in-house until recent retirements from fulltime grinding technicians.

This contract out agreement has worked well over recent years but could always be reverted to in-house.

The investrnent would provide additional related profits and the benefit of total control!

Equipment:

The company still has a limited but impressive repair and sharpening facility. A full asset register would be available upon request. The Business utilises Sage Accountancy Software for the Purchase & Sales Ledger.

Customer Service:

The Business enjoys very high levels of repeat business and referrals due to the consistent high quality of service customers expect. Reliably supporting industries productivity with quality saws & tools.

Key Strengths:

The business has limited competition putting it in a position of strength with excellent infrastructure in place.
Having a sterling reputation of strength built up over many years. Passionate within it's professional industry and trade and experienced in maintaining high quality precision sharpening with exceptional attention to detail.

Holding agencies for leading UK and European manufacturers.

Growth and Expansion:

Though the business is well established there are further opportunities to expand due to new markets. The company does not employ any dedicated sales representatives therefore is not proactively chasing work. They have been totally reactive to the ongoing demand. A more proactive approach could significantly increase revenues as the products and services it provides are required on many more manufacturing and production sites throughout its catchment area and beyond. Expanding it's website to process direct orders should have a big and immediate impact on turnover and profits. Further promotion of its services and products it provides should increase expenditure from existing customers considerably and could make an ideal 'bolt-on-business'!

The market is continuing to strengthen giving potential possibilities from more lucrative orders.

Premises:

The business operates from ideal leasehold premises within a wonderful setting close to a Motorway and A roads.
B(1) Light lndustrial - Lease oould be extended or terminated to suit the purchasers plans.
Rent £8,500p.a. - Business Rates £750 p.a. - Premises circa 1,750sq. ft. comprising mainly of
OFFICE - TRADE COUNTER WITH DISPLAY - STORES -WORKSHOP - COVERED LOADING BAY - CAR PARK

Business Hours:

Monday to Friday: 8.30am - 5pm

Advertising:

A comprehensive business web site is set up and expansion an easy option without a great deal of expenditure to enable on line purchasing. The company would also benefit from investment in marketing, currently there is next to nothing. The vendor is retirement age and trades in the old-fashioned way but still achieves good trading levels and profit due to the company's reputation from dedication and hard work.

The business has carried out limited marketing, preferring to relying on company nominations, referrals and the best form of advertising, word of mouth recommendations.

Financial profile:
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 currently achieves turnover circa £250,000 per annum. Resultant gross profits are circa £100,000. EBITDA £40,000. (Stock being circa £40,000). There is huge potential to develop this business further with a vast market waiting to be tapped by Marketing, Computer Upgrades (e-mail sales) and possibly being represented out in the field and showing at local and national exhibitions.

Asking Price:

£95,000 being for 100% of the issued capital of this company, assuming Net Assets of £35,000 on completion (calculated on a zero-cash, zero-debt basis).

Employees:

Currently the proprietor and his wife work within the business on a day to day basis supported by a driver and part time grinding technician.

Support and Training:

The current owners would be happy to assist and support at handover

Reason for Sale:

The vendors are planning for retirement

Looking for finance ?

If you are looking for finance to fund your business purchase then we recommend that you talk with our independent finance broker. Because of his many years working at a senior level for a major high street bank he has had more success with finance applications than anyone else we know. He has helped numerous purchasers of businesses that we are selling, including buyers who have been turned down by their own bank! Call us today on 0800 046 1652 or email us at finance@turnerbutler.co.uk

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This statement applies to information relating to any company or other undertaking or business advertised for sale by Turner Butler (a 'Business')

The information supplied by Turner Butler on its website or in any other promotional material ('the Information') is not and is not intended to constitute an offer for sale of the Business or any assets of the Business or of the shares of any company which owns the Business.

For the avoidance of doubt there is no intention to create a legal relationship which will only come into existence when a written contract for sale and purchase of the shares in or the Business has been entered into

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Any agreements transactions or other arrangements made between you and any client of Turner Butler are at your sole risk and responsibility. The prospective sellers of the Business have provided the Information to Turner Butler. The Information has not been verified by Turner Butler.

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Turner Butler
Ickenham House, 2-4 High Road, Ickenham, Middlesex, UB10 8LJ
Telephone 01895 25 6000 Facsimile 01895 25 7777
info@turnerbutler.co.uk
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