business for sale

Two successful contract cleaning businesses: established customer base, superb development potential

Businesses for Sale

Sale Memorandum

Two successful contract cleaning businesses: established customer base,
superb development potential


Ref.GC046

Location East Anglia

Asking Price £ 145,000

Confidential offered for sale

Asking price includes:

Circa £200,000 turnover
High Gross Profits
Huge opportunities and expansion capabilities
Qualified and highly skilled workforce
Good Business Potential
Excellent Location
Blue Chip Clients
Repeat Business
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 successful contract cleaning business is comprised of two separate legal entities: one is a private company, owned and operated by the vendor. The other business is a franchise of a well known and highly successful operation.

Both companies have been trading for more than twelve months. The owner is now planning to move abroad and, of necessity, is looking to dispose of his interest in the businesses.

In the relatively short time of trading, more than thirty clients have been established, some of which are nationally known names, and a sound reputation has already been developed. These customers are typically occupiers of offices, leisure, warehouses and retail premises. In addition some domestic cleaning is also undertaken. The business specialises in providing all cleaning and hygiene services.

Customer Service

The current owner spends most of his time in liaising with the client base to ensure the highest levels of satisfaction.

Key Strengths

Being part of a franchise brings great strength to the business. This is most obvious in the areas of marketing, where significant expenditure is made, and in the development of National accounts. The franchise bids for and wins work from large organisations, typically with a geographically spread estate. The local franchisee then cleans those premises that are located within his exclusive area. Currently a number of high street names including retail banks, employment agencies and mobile phone network operators are being serviced by the business.

In a short period of time the business has developed a sound reputation and is already winning new work through ‘word of mouth’ recommendation. The owner has trained his staff carefully: they all demonstrate a ‘we care’ attitude and this is evident to clients. He ensures that the workforce is actively managed.

Success is due to the quality and professionalism of the services offered. Central to the company success is its total commitment to quality and customer care, which is focused to a great extent upon levels of satisfaction, the area where the reputation of the business can be made or lost. Understanding this has meant that the business has prioritised this area to deliver its customer relationship management strategy.
Growth and Expansion

Both companies are providing services locally. Additionally, the non franchise business is already delivering regular services in London and Bristol: these can be used as a superb springboard to win additional new work in these cities and elsewhere.

Key Opportunities

No small part in the ability of this business to grow and sustain its profitability is due to the quality of its people. The business has a strong commitment to the development and welfare of its staff; which has contributed, alongside investment in client service, to the excellent profitability of the business and its current position, as it is poised to exploit expected and significant new growth in turnover.

The business can also serve as the springboard into ancillary and complementary services such as portering, groundsmen, reception, stationery supply and distribution and switchboard provision.
Premises

The business is run very effectively from the owner’s home office, thereby keep overheads to a minimum.
Advertising and Marketing

The business has recognised the importance of marketing. A website has been established and advertisements have been placed in Yellow Pages™ and on Yell.com™. Some direct mailing has taken place.

The business would now significantly benefit from drawing these activities together to develop and execute a formal strategic marketing plan, addressing all media.
Financial profile:
The business is being offered for sale on an ongoing 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 financially stable with low levels of borrowing and enjoys a strong order book with high gross margins and is showing strong growth. The current turnover is circa £200,000 per annum.
Employees

Some thirty staff are employed currently, of which two are experienced supervisors. Some people have worked within the industry for ten years.
Support and Training

The owner will be happy to agree to a period of training, handover and familiarisation to ensure a smooth transition to new ownership.
Reason for Sale

The owner is relocating abroad and wishes to dispose of his interest in both businesses
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:

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  4. We will contact you and put you in touch with the seller of the business.

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