Retailer of Dead Sea Salt and other Dead Sea products through e-commerce, mail order, wholesale
and High Street retail
Ref.EK009 Location Re-locatableAsking Price £ 95,000Confidential offered for sale | |
Asking price includes:
Projected turnover for the current financial year of £70,000
Gross margins of 75%
Well designed, informative e-commerce site
Experience and expertise in importing processes
Growing base of wholesale and retail customers
Reputation for reliability and professionalism
Established loyal customer base
Excellent supplier relationships
Excellent growth opportunities
Trusted and respected name
Extremely low overheads
Secure payment facilities
Training and handover
Goodwill
Stock | | 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: | Importing directly from the southern Dead Sea in Israel, in just three years of operation, this predominantly web based and mail order business has become a firm favourite for those looking to purchase quantities, large and small, of Dead Sea salt. Supporting the web sales and mail order this business also has a growing base of wholesale and retail customers, mainly operating in the health and beauty sector.
Using Dead Sea salt in the bath at home is a great way to relax and unwind. Previously the exclusive preserve of spas and expensive skin care clinics, therapeutic Dead Sea salt baths are increasingly becoming common practice at home. Providing not only a medium for deep relaxation but packed with ten times more minerals than ordinary sea salt, Dead Sea salt provides a veritable feast for the skin.
As well as its inherent therapeutic properties, Dead Sea salt has also been found to be beneficial for the relief of many ailments and skin conditions including eczema, acne, dry skin, psoriasis and dandruff – the success of which have been proven and supported by large volumes of published works. With up to 1kg required for each bath – depending upon a particular condition, customers regularly look to purchase 20kg or more. And with the vast majority of the High Street retail chains supplying in small packs, this business is in high demand from sufferers of these conditions and high volume users – rapidly establishing themselves as regular customers.
From its well designed, informative and easy to navigate e-commerce site this business also offers a small range of additional bath products, Natural Dead Sea mud and Bath melts. The latter, dissolved under running water are available as a calming and uplifting combination of essences including lavender, lavandin and rosewood offer helpful relief from nervous tension, poor circulation, turedness and stress. Additional features on the site, which performs very well in all of the major search engines for all appropriate search topics include a Forum enabling visitors to ask questions and to share suggestions on the treatment of shared ailments, a newsletter and testimonials testifying to the effectiveness of the products. The site also has a thriving Affiliate Partner scheme.
This is a very high margin business. Despite not being core to the business activities of the current owner, this business has an established base of over 1,000 regular customers. With turnover set to reach £70,000 within the next 12 months – a forecast based purely on the current rate of new customer acquisition and the repeat business from the existing customer base, this represents an excellent opportunity to acquire a well established niche e-commerce business with excellent potential for growth and expansion. | Key strengths:
This is a very high margin, quite unique business operating in a niche market sector, with a high quality product. Despite high margins which make the product quite expensive, users convinced of the effects its continued use can have particularly upon skin conditions purchase in significant volumes.
This business has an excellent supplier and over the three successful years of operation has developed wide ranging knowledge and expertise relating to the systems and processes involved in importing its product.
A key asset to this business however, is its excellent, clear, well designed and informative website which perrforms exceedingly well in all of the major search engines for all appropriate search topics. Whilst the vast majority of turnover arises via the website the business is already establishing itself within the retail sector with listings in a handful of health and beauty independents.
Growth and expansion:
There is an outstanding opportunity to build on the existing products and customer base of this company. With a strong demand for its products combined with a capacity to increase turnover, a new owner contributing fresh ideas and investment in resources, but perhaps most importantly dedication to the future success of the business will have every advantage of building on an excellent platform.
Not core to the business of the current Owner there has been little time dedicated to the development of the business. As such there are excellent opportunities for someone with time and dedication and more specialist knowledge to build on the current offering.
This business is currently very firmly positioned within the pharmaceutical market. A repositioning as a health and beauty or cosmetics business for example combined with an increase in the product range, the introduction of branding, packaging etc would enable this business to substantially increase its margins over and above what must already be considered to be generous levels.
There is also considerable scope to increase the wholesale and retail base of this business without compromising its e-commerce base.
Customer service:
The business is dedicated to 100% customer service, with goods despatched for next day delivery throughout the UK and Europe. | | Premises:
Fully re-locatable, there are no premises included in the sale of this business. | Advertising and marketing:
Predominantly a web based business not surprisingly the small investment this business makes in marketing and advertising is web based ensuring that the business performs very well in all of the major search engines for all appropriate search terms. There is enormous potential to increase awareness and traffic to the sites using both traditional and new media with search engine optimisation techniques likely to be the most cost effective.
This business benefits most however from the most powerful and cost effective form of marketing – word of mouth recommendation, and particularly through testimonials featured on its site, testimony to the high levels of customer satisfaction not only from the products offered by the business but its high levels of customer service. | | | Financial profile: | The business is being offered for sale as a going concern. All financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.
Projected turnover for the current financial year is £70,000 based purely on the current acquisition rate of new customers and the rate of purchase of current customers. Gross margins are approximately 75%. | Employees:
With all aspects of the operation of the business undertaken by the Owner or family members with occasional casual assistance, there are no employees included in the sale of this business. | Handover and training:
The current owner will provide all necessary training and handover to ensure a smooth transfer of the business to new Owners. | Reason for sale:
Never considered core to their main business offering, the current Owner has decided to pass the opportunity on to new Owners to realise the business’s full potential and fully capitalise on the excellent foundations already laid. | | 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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