business for sale

Reputable, Well Established Scaffolding Hire, Supply and Installation Company

Businesses for Sale

Sale Memorandum

Reputable, Well Established Scaffolding Hire, Supply and Installation Company


Ref.GB054

Location Greater Manchester

Asking Price £ 325,000

Confidential offered for sale

Asking price includes:

A trusted and respected supplier of scaffold equipment
Turnover consistently in excess of £500,000 p.a.
Gross Profits consistently in excess of £320,000 p.a.
Suitably qualified personnel (C.I.T.B and P.A.S.M.A.)
Many years of successful business
Extensive commercial client base
Good pipeline of future revenues
A friendly professional service
Excellent opportunity to grow
Extremely lucrative margins
Well suited leasehold premises
On going growth pattern
Superb fleet of modern vehicles
All plant and equipment
Training and handover
Superb reputation
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 business was formed in 2000 and has grown into one of the areas largest scaffolding companies. It is regarded as the market leader in the region with customers stretching far and wide. This position of strength has been achieved by giving customers the service, experience and expertise they require. The current owner has some 35 years experience within the industry and it is this knowledge and expertise that has enabled the company to enjoy excellent growth rates to date.

This company is a dynamic, customer driven business and offers a professional reliable and efficient service to many industries. Nearly all its work is within the commercial market place and the business resources are usually booked up weeks in advance with a further 6 months high quality pipeline in place at any one time. The business supplies and erects a range of scaffold alloy tubing and also has its own in house repair and maintenance facility. This ensures all equipment is well maintained and complies with all current health and safety legislation. This is illustrated through the company’s excellent health and safety record.

The business services both public and private sector customers and has a very large and diverse database of satisfied clients. Much of the work is repeat business and their is huge scope to further develop these accounts as many of the customers have very large estates to manage and maintain.

The business has an excellent credit rating and has always enjoyed positive cashflow.

The business has a loyal and varied workforce of around 15 full time staff who ensure projects are carried out in a safe and organised manner. A site survey is always carried out prior to any job being undertaken and written quotations are supplied to clients detailing pricing and exact requirements. Contracts are fully insured, giving customers complete peace of mind. The business prides itself on its level of expertise and ensures the customer is always satisfied.

Health and Safety:

The business prides itself on its reputation . It takes health & safety very seriously both on their own premises and on the premises of their customers ensuring staff are aware of and implement current legislative requirements and best practice across the business. The Company is fully compliant with all relevant Health & Safety legislation and guidelines and are committed to creating a safe working environment for both employees and customers.

Customer Service:

The company has been built on the unrivalled service levels it provides clients. Speed of response and quality of service on a consistent basis ensures excellent levels of repeat business and customer retention.
Equipment:

The company has a level of plant and equipment that you would expect from a market leader. This includes the following:

• Alloy scaffold tower/board stock in excellent condition
• 1 x 7.5 Tonne Truck
• 3 x Drop side Transit Vans
• 1 x Twin Cab 4 x 4
• 1 x Single Cab 4 x 4
• 1 x Small Van
• Welding equipment, jigsaws, tools etc.

Key Strengths:

This well established, well-respected business enjoys an excellent reputation within the industry and the wide variety of clients recognise that it is cost effective, efficient and works well within time schedules to ensure contracts are completed. The geographical area covered by the company has minimal competition and has excellent potential for continued growth.

The Company has achieved sound financial strength and growth and has held contracts with various companies for many years. Customers are treated to an efficient and courteous service, with a helpful and knowledgeable member of staff at every turn. This business has maintained an impressive base of satisfied repeat accounts and contracts with local authorities, specialist roofing companies, property maintenance and facilities management companies plus many more and continues to attract new referrals.

Growth and Expansion:

There is huge potential to develop this company further . The business has never really seen the needed to advertise to date and has stayed within its specific area of expertise, namely scaffold hire and erection. A new owner with new levels of energy and business acumen could certainly increase the turnover significantly and broaden the services of the company quite easily with limited investment in additional resource and by increasing the advertising and strategically marketing the company.

The sale of this business presents a rare opportunity to acquire a highly successful business that has been established from scratch by our clients and has genuine and demonstrable scope for substantial growth.

Additional sales and marketing activity as well as expansion into the property maintenance arena itself are possibilities for the future. Further development of the in-house scaffold repair and maintenance facility represents a business in itself and this could contribute significantly to the profitability of the business and further expand the existing client base. This company is ripe for expansion as the very substantial foundations of this business have already been laid and it is well positioned for its next stage of growth.
Quality Assurance:

The Company owns vast stocks of scaffolding equipment, which is regularly maintained to an extremely high standard, prior to being dispatched to site. The quality of maintenance being second to none.

Key Opportunities:

This is an outstanding opportunity to build on the existing products, services and customer base of this business. With a strong demand for products combined with a capacity to increase turnover, a new owner contributing fresh ideas will have every advantage of building on an excellent platform.

This business maintains an extensive base of satisfied customers, who appreciate the company’s superior products and service. There are many excellent avenues for growth, especially within geographic coverage, operations capacity and market forecasts which all point to ongoing and significant growth and development.
Premises:

The premise are leasehold and situated on a shared industrial estate. The ground floor comprises approx. 3500 square feet, mainly storage, with office, canteen and toilets. The first floor has additional office and archive area circa 250 square feet.

Business Hours:

All staff are flexible and understand the needs of their clients. The business does offer a 24 hour call out to its more prestigious clients.

Security:

The building is alarmed and also has CCTV with guards available on response. This service is charged at £75/month. The industrial estate is gated.
Advertising and Marketing:

The business has never felt the need to advertise in the past and there are excellent opportunities to increase this and market the business more aggressively. A large percentage of clients derive from recommendations and the business has surpassed growth expectations bearing testimony to the excellent reputation the business has earned since inception.

The company does not have a web presence, company brochures or undertake any direct mailing or database development. These represent significant future opportunities to a new owner and there is no doubt that turnover and profits could increase in line with a more active marketing strategy, both to existing clients and target potentials.
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 is highly profitable, financially stable and has shown consistent strong growth in profits.

The business consistently achieves annual turnover well in excess of £500,000 with Gross Profits in excess of £320,000, Net Profits in the region of £100,000. Full financial information is available, subject to the confidentiality letter being returned.
Employees:

The business is currently run on a day to day basis by two directors of the company. The third director works on part time basis and performs the role of company secretary. In addition to this there is a general manager who is a qualified scaffolder and ten further scaffolders (5 are C.I.T.B. qualified, 6 are P.A.S.M.A. qualified and 2 are also trained First Aiders). There is also a receptionist. All staff are full time, loyal and experienced.
Support and Training

The owner is happy to provide full business familiarisation, training and handover for a period of time to be negotiated prior to the sale.
Reason for Sale:

Our client is planning retirement.
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

If you are interested in finding out more about this business please:

  1. Click here to generate the Confidentiality agreement with your details
  2. Print the confidentiality agreement
  3. Sign the confidentiality agreement and fax each page of the document to 0870 432 3611
  4. We will contact you and put you in touch with the seller of the business.

[back to businesses for sale] [return to top]