Independent Supermarket Chain operating from 3 Freehold units with Petrol Forecourts
Ref.AF073 Location ScotlandAsking Price £ 5,250,000Confidential offered for sale | |
Asking price includes:
3 Substantial Freehold properties circa £3,000,000
Well established local household name
On target turn over circa £8,000,000
Recent high quality refurbishment of main unit
Additional rental income from ‘in store units’ | | 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: | The stores are extremely well established and the company has traded since 1984. The Business was started by the current vendor who has always operated within the industry alongside his family. The properties are all ideally located in very easily accessible locations, benefiting from both motor and pedestrian passing trade as well as the usual, regular, local shoppers; the premises are close to all amenities and adjacent to busy trunk roads.
The three stores operate from circa 4,500; 4,600 and 8,900 square feet floor area respectively which includes merchandising, storage and administrative offices;
The units each operate petrol forecourts which help drive additional sales through the door and has established itself as one of the region’s leading independent supermarket for major brands in freezer products, all associated food and home necessities, fruit and vegetables, snacks, confectionary, and carbonated & soft drinks to the local community. Many current customers have been loyal to the business since the very beginning and this has been due in no small part to the business’s competitive prices, quality products, first class service and attention to detail.
The business has always believed in the pursuit of excellence, installing new technology, constantly reviewing and updating its service commitment and its methods of business, ensuring that valued customers receive the very best service and quality of product.
The business has shown itself to be resilient in the face of competitive and economic forces and has maintained strong and incremental growth over its years of trading. The business is further supported by exemplary relations with key suppliers who have helped to ensure that whatever the product, service and availability is never compromised and that customers are as a result never let down. This commitment to supply chain relationships has underpinned this business’s abilities in product quality and sustained business growth.
No small part in the ability of this business to grow and sustain its profitability is due to the quality of its people, alongside investment in technology, 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 properties benefit from significant parking area’s and are protected by an alarms, CCTV systems and security shutters. | Customer Service:
The business manages a great many customers in any normal week and has the systems, processes and people to ensure that both productivity and customers’ orders are satisfied.
The most important aspect of customer management and satisfaction considered by the business is honesty and is responsible for the business retaining many customers and the reputation for which has led to the acquisition of many new customers.
High quality service, with flexibility, honesty, reliability and good value, every request is important and customers always come first. The result is self evident in the business’s sustained level of repeat business.
Key Strengths:
The business is well established and very profitable, with a loyal and growing customer base, retaining a high level of repeat business, particularly among a number of customers returning on a regular basis and having done so for many years.
The company has earned an outstanding reputation for its professionalism, service, reliability, flexibility, efficiency and a willingness to help.
Growth and Expansion:
The current market for this business’s services is stable and is forecast in the near and longer term for significant growth. The business is well positioned to take maximum advantage of this growth as it occurs.
Key Opportunities:
This is an outstanding opportunity to build on the existing services and customer base of this company. With a strong demand for services combined with a capacity to increase turnover, a new owner contributing fresh ideas and investment in sales and marketing resources will have every advantage of building on an excellent platform.
This firm maintains an extensive base of satisfied customers, who appreciate the company’s superior services. There are many excellent avenues for growth, especially with marketing investment and forecasts, which are showing early trends for growth and development. | | Premises:
The three freehold premises have a very clear brand identity. They cover 4,500; 4,600 and 8,900 square feet floor area respectively. The largest unit has just undergone a significant refurbishment programme and did not operate for a period of time. Since re-opening, the unit has commenced trading with a flourish and is on target to set new trading records. There is also additional revenue potential to let ‘in store’ units to smaller operators such as hairdressers, mobile phone accessories etc.
Business Hours:
The businesses operate 7 days a week from 7.00am to 10.00pm Monday to Saturday and 8.00am to 10.00pm on Sundays. The owner has received information leaving him to believe that it would be possible to extend trading to 24 hours.
Security:
Each of the properties benefits from Alarm systems, CCTV and security shutters/grills. | Advertising and Marketing:
The business has used limited advertising in the past and there are excellent opportunities to increase this, and market the business more aggressively to significantly increase turnover. A high proportion of the business's revenue has been due to its excellent reputation for quality and service and strong word of mouth recommendation. | | | 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 financially stable with no borrowings, low overheads, positive cash flow, and high gross and net profit and has shown consistent high growth.
Sales revenue is on target for circa £8,000,000 per annum with Gross Profit circa 13%. The vendor feels that with investment in sales and marketing combined with the expected increase in market demand the business could dramatically increase its revenue | Employees:
The current owner has remained at the forefront of the operation of the Business, enabling him to mange and control the growth and development of the Business.
He is ably supported by a team of circa 25 staff, some of whom have been with the owner for many years. | Support and Training
Full support, training and handover will be provided to the successful purchaser. | Reason for Sale:
After more than 25 years of hard work, the owner now wishes to enjoy the fruits of his labour and spend more time at his overseas property. | | 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 |
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