business for sale

Wholesale and Retail Sales of Aquatic and Domestic Pets & Pet Supplies

Businesses for Sale

Sale Memorandum

Wholesale and Retail Sales of Aquatic and Domestic Pets & Pet Supplies


Ref.EB019

Location Lancashire

Asking Price £ 360,000

Confidential offered for sale

Asking price £360,000 + SAV

Asking price includes:

Almost 20 Years Continuous Successful Trading
Combined Turnover in excess of £1.1million
Gross Profits circa £350,000 per annum
Superb Leasehold Premises
2 Busy Retail Outlets
1 Large Wholesale Operation
Huge Customer Base
Pet Care Trust Membership
All Fixtures and Fittings
Loyal and experienced workforce
Very limited Local Competition
Huge Expansion Possibilities
Well Established Supply Partners
Training and Handover
Goodwill
Finance available to buy this business subject to status. All regulated business is passed to independent financial advisors who are regulated by the FSA

Business profile:

This family run business was established back in 1989 and supplys pets and pet supplies to both the trade and general public. The business has shown steady growth and good profitability since its inception and has built up an established and trusted reputation in the market it serves for providing good quality products and services.

The wholesale business operates from a circa 7000 square feet building and specialises in the sales of aquatic and reptile supplies as well as providing the more traditional pet products that the UK market requires. The business curently serves a large and diverse client base across the North West Of England. The business offers a delivery service 3 times a week.

There are also two Retail outlets that complement the wholesale operation. Both sites are well positioned within the towns they serve and enjoy very high levels of repeat business as well as passing trade.

All the sites are well presented and have the necessary racking, fixtures, displays and storage facilities that you would expect from a concern of this size. All these assets (circa £80,000) are included within the sale of the business.

Clients:

The business has a broad ranging customer base. The retail outlets serve their local markets whilst the wholesale operation currently serves clients In North Wales, Wirral, Chester, Liverpool, Greater Manchester and North Lancashire. Wholesale accounts for around 80% of turnover, 20% being retail. There is no reason that this operation could not be expanded further afield as the current wholesale site has spare capacity.

Customer Service:

The business believes it is customer service, and in particular a personal service, that really sets it apart and works very hard to promote this. It offers the best service and support with trained and knowledgeable staff that deliver and satisfy the needs of the customers each and every time. This is reflected in the very high customer satisfaction levels and repeat orders the business enjoys. The business is a member of the Pet Care Trust, further testament to its commitment to ongoing customer service.
Growth and Expansion:

The business is very stable and well positioned to expand its coverage, especially as the current infrastructure has spare capacity within the wholesale division which currently caters for about 80% of turnover. It could certainly increase its product offerings still further to increase customer spend. The addiion of an external sales functions wouls also fuel such growths

Key Strengths:

The company has a wide availability of many different types of pets be it aquatic, or even reptiles, as well as stocking the more common livestock that the UK market demands, not to mention a whole host of foodstuffs, feeds ,toys and accessories. It is also able to source products on request as it has a wide extensive supply base and knowledge of the market.

Professionally managed, the company always ensures it delivers a memorable service to its clients. It is this flexibility, quality advice and understanding of what is actually involved in ensuring a pet is kept in a safe and healthy environment that ensures high levels of customer retention.

The business flourishes on word of mouth recommendations with clients staying loyal. It has a very large client base ripe for further development .

There are few other operations of a similar nature or size in the area. This together with the excellent reputation, knowledgeable and dedicated staff sets this business apart. The business is well positioned for future growth as all the necessary foundations are already in place.

Key Opportunities:

The internet represents a huge opportunity and a website is a must for a new owner, both for retail and wholesale. In addition to this the company would benefit from further sales and marketing activity, especially on the wholesale side where an external sales person would help fully develop the existing account base and increase profitability still further. More target marketing, a home delivery service for the retail side, there are many more avenues of opportunity to explore.

Having achieved impressive growth over the years the business has built up an excellent reputation within the surrounding area . There is plenty of scope for expansion within the existing market as the company has very strong supplier relationships which ensures they offer the most up to date in demand products to clients.

Further advertising would certainly increase sales and revenues. The company could expand further by targeting areas outside its normal geographical operating region.
Premises:

Wholesale- The wholesale operation is run from a circa 7000 square feet site. It comprises two offices(circa 900 square feet) with canteen and toilet facilities. The remaining space being warehouse. The building is single storey, half brick, half cladding construction and located on a gated secure industrial estate with good access. The site also has CCTV, and all services are connected. The vendor owns the freehold and would make a new lease available to the new owner subject to negotiation , should they so require.

Retail 1- Two storey retail outlet located in a busy market hall within the town. Has good loading access, small office, toilets and storage area. Ground floor circa 800 square feet, first floor circa 400 square feet. (Aquarian Area). Property is leasehold. Current lease expires 2012. Current rent, rates and insurance circa £20,000 p.a.

Retail 2- Single storey site located within the town centre. Rear loading bay , office and toilets. Floor area circa 800 square feet (approx 200ft is Aquatic) Property is leasehold. Current lease expires 2009. Current rent, rates and insurance circa £42,000 p.a.

Business Hours:

Wholesale- Monday to Friday 8.00 am- 5.00 pm.

Retail- Monday to Saturday 9.00 am – 5.30 pm.
Option to open Sundays.

Security:

All the sites are fully alarmed and have roller shutter door coverage.
Advertising and Marketing:

The business has a large client base, and its large amounts of repeat business bear testimony to its excellent reputation. The company has used limited advertising in the past including Yellow Pages and Local TV and Radio. The business does undertake limited direct mail on the wholesale side of the business and also has an informative company brochure. The business would certainly benefit from a more active sales and marketing campaign including the development of an internet presence that would increase market exposure and enable online sales and enquiries.
Financial profile:
Employees:

The business is broke down into wholesale and retail. All staff are full time unless stated otherwise.

Wholesale Division

• 1 Managing Director
• 1 Office Manager
• 1 Accounts Administrator
• 1 Telesales/ Warehousing
• 1 Order Picker
• 1 Driver

Retail Outlet 1

• 1 Shop Manager
• 1 Assistant Manager
• 2 Sales Assistants
• 2 Sales Assistants (Saturdays)

Retail Outlet 2

• 1 Shop Manager
• 3 Sales Assistants
Support and Training

Full support, detailed handover and training will be provided.
Reason for Sale:

The owners are looking to emigrate
Turner Butler Disclosure Statement:

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 does not accept any responsibility or liability for loss or damage of any nature that may occur by reliance on the Information. Neither Turner Butler nor any of our employees or agents makes any representation as to the completeness or accuracy of the Information nor do we accept any liability for any losses, costs, liabilities or expenses which may arise directly or indirectly from your use of, or reliance on the Information.

This document is governed by and shall be construed in accordance with English Law and any dispute arising in connection with it shall be subject to the non-exclusive jurisdiction of the English courts

Turner & Co (GB) Limited registered in England and Wales under company no. 2477988 of registered office Savoy House Savoy Circus London W3 7DA, trading as Turner Butler © Shaun Sweeney October 2006

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