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Embroidery And Digitizing Studio In Cape Town For Sale

Cape Town, Western Cape, South Africa
Asking Price:
R2,200,000 Furniture / Fixtures and Inventory / Stock included
Sales Revenue:
R1,760,788
Cash Flow:
R655,967

We are offering a rare opportunity to acquire a well-established and profitable Embroidery and Digitizing studio near Cape Town, South Africa.
This is an Embroidery and Digitizing one-stop solution for all Embroidered Corporate Branding and Clothing.
They offer Embroidery and Digitizing services as well as supply a wide range of Clothing Products and Caps.
We specialize in:

  • Digitizing of Designs
  • Laser Embroidery
  • Debossing and Embossing
  • Crystal Application

This is a turnkey operation with a strong reputation, loyal customer base, and extensive equipment
Ideal for an entrepreneur or existing branding house looking to expand.
Business Overview

  • Established: 28 years in operation
  • Business Model: Combination of over-the-counter sales and contract manufacturing
  • Average Monthly Turnover: ± R175,000
  • Customer Base: Maintained digitally since 1997 (part of the financial package)

Assets Included
Embroidery Machines:
3 × 4-Head Embroidery Machines
1 × 2-Head Embroidery Machine
3 × 1-Head Embroidery Machines
Software:
Embroidery Digitizing & Design Software (License Included)
Digital Archives
15 years’ worth of digitized embroidery files
Fixed Assets:
Valued at approximately R2.5 million

Property Information

Real Estate:

Lease

Lease Terms:

The Lease Agreement is in place and operates on a year to year basis. Annual Escalation is in the region of 8% but is negotiable

Leasehold Rent:

R186,000 per annum

Location:

Cape Town operate from Industrial premise

Premises Details:

The Premise is 225 m2 in size and consist of the main manufacturing space, reception area, office, kitchen & staff quarters.

Size in square feet:
The Premise is 225 m2 in size
Planning Consent:

Full planning consent in place

Business Operation

Management type:
This business is owner operated.
Expansion Potential:
  • This business have got incredible growing potential in a fast growing market with a bigger range of products
  • Little or no Marketing & Promotion has been carried out in the business and improving this would greatly enhance the performance of the business
  • The business is in need of a fully developed website which allows for online order placement and purchases
  • The business is fully equipped with everything that is needed to grow it to its full potential and quality and quantity of the products will ensure future growth and prosperity to any operator.
Competition / Market:

Very little competition operate in very specialized production facility and barriers to entry are very high
Unique Selling Points

  • Loyal client base cultivated over decades - repeat business and referrals
  • Complete independence - no more waiting in line at branding houses
  • Fully digitized systems - customer records and embroidery files since 2005
  • Assets allow for complete in-house production of Embroidery manufacturing
  • Business can scale or integrate easily into existing fashion or branding operations
Reasons for selling:

Owner has been in business since 1997 and wish to retire but are willing to stay on for as long as new owner requires

Trading hours:

Mon to Thursday: 07h30 to 16h30;
Friday: 07h30 to 15h30
Saturday & Sunday: Closed

Employees:
The Owner with an Embroidery Team of four Machine Operators and two General Workers. All employed for prolonged period of time
Years established:
Established 1997 with the same owner

Other Information

Support & training:

Full support & Training will be provided and the owner will stay on to help if needed

Financing available:

No owner finance buyer would have to bring 50% of purchase price to the table

Furniture / Fixtures value:
R2,000,000 - included in the asking price
Inventory / Stock value:
R50,000 - included in the asking price
Related Documents:
Relocatable:
This business can be relocated