business for sale

Wholesale Bakery and Catering Company

Businesses for Sale

Sale Memorandum

Wholesale Bakery and Catering Company


Ref.ED002

Location Warwickshire/Worcestershi

Asking Price £ 375,000

Confidential offered for sale

Location:Warwickshire Worcestershire Border
Sales of circa £725,000 per annum services
Gross Profits being circa £410,000.

Asking price includes:

Share Sale
Established client/customer base
Computer administration system
Excellent opportunity to grow
Office furniture and equipment
Large amount of equipment
Training and handover
Good profit margins
Excellent premises
Sound reputation
Sign-written vans
Great location
Advertising
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 well established bakery and catering company was started in 1995 and has created an enviable reputation for supplying a broad range of high quality products to an extensive customer base located within a thirty mile radius of the bakery. The product range consists of ; Fresh and frozen bread, cakes sweet and savoury pastries, patisserie and sandwich fillings.

Approximately fifty percent of the turnover of the company is generated from items produced in house with the remainder being bought in from a wholesaler.

Equipment:

A full asset register will be made available on request. The business has a small fleet of sign written refrigerated vans.

Customer Service:

The database of both active and historic customers exceeds two hundred and fifty and consists of hotels, restaurants, schools, colleges, and some independent retail shops.

Approximately eighty of these accounts are active including a number of National Trust sites. There is also a growing demand to supply the catering requirements of the private party market.
Clients are either rung on a regular basis or ring in with their orders. Most deliveries occur twice weekly with key accounts being supplied daily.

Key Strengths:

Well established
Minimal borrowings
Quality customer base
Good margins
Sound product range

Growth and Expansion:

There is a good opportunity to substantially grow this business. At present there is no sales structure in place to actively approach and canvass new customers. In particular there are an additional twenty plus National Trust locations within reach of the business that are not carrying their range of foodstuffs. Tourism is buoyant in the region and a balanced sales campaign would undoubtedly result in increased revenue.
Premises:

The business operates from two adjacent industrial units that have a combined square footage of circa five thousand seven hundred and fifty square feet. There is also a secure yard available for additional storage space. The buildings and yard can be leased at an annual rental of £22,000. Alternatively the buildings can be purchased for a figure subject to valuation at the point of sale.
Advertising and Marketing:

The company produces a colour brochure of its products but this is not actively used to attract new customers. The business does not have a marketing budget or benefit from a web site.
Financial profile:
All financial information will be made available under the auspices of Turner Butler and subject to letters of confidentiality. The company enjoys a turnover in the region of £725,000 with gross profits being circa £410,000.
Employees:

The team consists of
Two directors
Two part time office staff
Two head bakers
Two full time catering assistants
Three part time catering assistants
Two full time drivers
Support and Training

A full and seamless handover will be made available to the purchasers for a period to be agreed as part of the overall negotiations.
Reason for Sale:

The directors have decided to concentrate their efforts on developing some commercial investment properties.
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

The Information provided is not intended to address your particular requirements. Further the Information does not constitute any form of advice recommendation representation endorsement or arrangement by Turner Butler and is not intended to be relied upon in making (or refraining from making) any specific decisions.

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.

You must carry out your own due diligence and satisfy yourself as to the accuracy of all matters. In the case of the sale of shares in a Business the Information has been prepared on the basis that the shares will consist of or include more than 50% of the voting shares and that both the seller and the buyer is either a body corporate, a partnership, a single individual or a group of connected individuals so as to fall outside the scope of regulated activities as defined by the Financial Services and Markets Act 2000. If you are considering a transaction which falls within the scope of such regulated activities you cannot do so through Turner Butler.

Appropriate professional, legal and accountancy advice should be obtained before making or refraining to make any decision.

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

Next steps

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