Opis:

Asking price includes:

Turnover consistently in the region of £260,000
Gross margins of approximately 40%
Pre-tax net operating profits of approximately £40,000

Koi specialist
Excellent reputation for high quality fish at competitive prices
Well trained, experienced and expert staff
Extensive well established customer base
Excellent supplier relationships
Excellent growth opportunities
Leasehold retail premises
Training and handover
Positive cash flow
Goodwill
Stock

Business profile:

Established for approximately 16 years - but on a site which had for many years previously hosted a pet retail business, this company has grown to become one of the leading pet and aquatic retail businesses in the area. It is particularly well known for specialising in Koi, being the only Koi dealer for several miles around. It has a predominantly domestic customer base - the vast majority of its sales are to the domestic market but can also boast a small customer base of water garden contractors.

Working very closely with its suppliers, this business retails a vast range of fish including some rare and unusual species. Set up originally as a Koi specialist the business has introduced new lines along the way and is now firmly established as a prominent retailer of aquatic products including a full range of dry goods - food, medication, pipes, fittings, pond filtration and pump equipment etc. It also offers a thriving pond maintenance service. It is with Koi however that this business has built its reputation and which is still the mainstay of the company representing a significant proportion of overall turnover.

The business has in place excellent, quarantine and storage facilities, ensuring all fish are of the very highest quality. With excellent buying power and close connections with breeders and wholesalers, this business is not only able to offer its high quality stocks at very competitive prices but excellent availability in addition.

Operating seven days per week out of very well suited, leasehold, retail premises, this company is very well managed and easy to run. The cornerstone to the success of the business has been the excellent customer relationships this business has built up over many years of operation. Offering a highly personal service backed up with detailed knowledge of aquatics -and koi in particular, this business has built up a very loyal, repeat customer base particularly amongst the affluent local residents who regard this business as 'their' shop. This approach has paid exceptional dividends with the business performing consistently well throughout its many years of operation.

With turnover for the most recent financial years for which figures are available consistently in the region of £260,000, generating gross margins of around 40% and profits available to the Owners of the business of approximately £40,000 per annum this is an excellent opportunity to acquire a very well managed and easy to run niche market retail operation with excellent growth prospects. It should be particularly attractive to a fish hobbyist/enthusiast looking to extend their interest into a business opportunity or alternatively an existing sector operator looking for a very well established and ideally located additional outlet, turnover and profitability.

Key strengths:

This business is ideally located in a very affluent area with a high incidence of ponds in gardens. Offering easy access the premises are prominently situated on a small independent 'retail park' adjacent to synergistic independent retail outlets including a farm shop and plant nursery.

This is a business very much built on its reputation for specialising in aquatics and particularly in relation to Koi. As such it is very much seen as an expert in its field and can be relied on to provide detailed expertise and knowledge in the care and maintenance of fish.

This business has excellent relationships in place with breeders and wholesalers. It has built an excellent reputation within the marketplace for offering a very personal service with excellent quality fish at very competitive prices and with very good availability. Not surprisingly this business can boast a very loyal and extensive customer base. Enthusiasts from many miles around pass competitive outlets to visit this business because of the quality and availability of its fish - all at very competitive prices.

Despite operating in a marketplace offering 'live' goods this business has been set up to be deliberately easy to run. It has excellent husbandry practices in place using tried and tested quarantine and tank facilities. Its staff are very well trained and have high levels of experience and expertise. The fish themselves require little maintenance as do the tanks and equipment housing them.
Key opportunities:

This business is operating in a growing market. With a strong demand for the products of this business, combined with a capacity to increase turnover, a new owner contributing fresh ideas, drive and enthusiasm will have every advantage of building on an excellent platform.

The business currently offers most things within the sector in which it operates - but is very much a traditional retailer. The development of a website - perhaps incorporating an e-commerce facility would enable the business to increase awareness of its product range and service, as well as extending its geographical reach beyond the normal retail boundaries.

Many aquatics businesses have expanded by leveraging the reputation they have built for retailing what are often considered to be high value, low maintenance livestock by extending into reptiles and reptile products. For new owners comfortable operating in the sector, there is certainly capacity on the site of this business to develop a 'store within store' concept which could have a significant impact on turnover and profitability, particularly located as this business is in an area with many high net worth individuals and with very little local competition meeting the fast growing demand for reptiles.

Technology:

Indoors, the business has four holding tanks, three vivariums and nine display fish tanks. There is an additional pond as a water feature in a display garden to the rear of the premises.

The premises:

This business operates from very well suited premises on a former agricultural site, adjacent to several synergistic retail outlets including a farm shop and plant nursery. The premises are located on a major thoroughfare in an affluent part of Kent, close to the M25. As such the business enjoys high levels of awareness and good levels of passing traffic.

The premises were secured on a five year renewable lease in 2005. Rent is £800 per month. Still considered to be agricultural premises, Rates are not levied.

There is ample parking.

Opening hours:

The business currently operates between 9.00 am and 5.00 pm Monday to Saturday and between 9.00 am and 4.00 pm on Sundays.
Marketing and advertising:

Being well established within its current catchment area and with an excellent reputation, this business has little need for marketing and advertising aside from listings in the normal Directories including Yellow Pages.

This business has no web presence currently which is certainly considered to be an area worthy of future development. By far the most effective form of marketing is the strong word of mouth recommendation the business enjoys, particularly amongst hobbyists and enthusiasts, testimony to the excellent reputation the business has for its range, availability and competitive prices.

Financial profile:
The business is offered for sale as a going concern. All financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.

The business is financially stable with excellent positive cash flow and good gross and net profit margins.

Turnover for the most recent years for which figures are available has consistently been in the region of £260,000 generating gross profits of approximately £100,000. The pre-tax net operating profit in the financial year ending December 2007 was £43,000.

The Asking Price of £140,000 is for a sale of the shares in the business.
Employees:

The current Owners are responsible for the day-to-day running of the business supported by one full time and one part time employee.
Support and training:

The current owners will provide all necessary training and all relevant contacts to ensure a smooth transfer of the business and continuity of trading.
Reason for sale:

The business is available for sale for health reasons.
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Turner Butler
Ickenham House, 2-4 High Road, Ickenham, Middlesex, UB10 8LJ
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