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Established Mechanization And Chemical Business In Agriculture Sector For Sale

George, Western Cape, South Africa
Asking Price:
R13,000,000
Sales Revenue:
R29,425,573
Cash Flow:
R303,382

Excellent Established Business With Strong Track Record For Sale

The business was established in 2013 by the current owner and it has grown from strength to strength over the past 9 years. The Seller’s decision to sell is based on the fact that he would like to take a “sabbatical” after building the business for almost a decade.

The started out as a Mechanization Business in the Agricultural Sector, offering sales, service and repairs. Over the years the business has taken on several brands and offer a broad range of Agricultural Equipment.

The Chemical side of the business offers manufacture and sale of chemical’s under license from a renowned International Company.

The two aspects of the business work very well in complementing each other and the scope for further growth on both sectors is great. In particular the chemical side has great growth potential country wide.

Both business sectors are profitable. The mechanization business has had to deal with supply challenges from some of it’s brands due to the Covid pandemic, however the seller has established mechanisms to work around these challenges and these supply limitations are improving.

The business generated a Net Profit EBIDTA of R3 640 578 in the 2022 financial year. The asking price of the business is set at R13,000,000 Ex Vat and Stock and is negotiable.

The business is well managed with strong well trained team of staff. The owner is involved in the day to day operations of the Mechanization side of the business and the chemical side has a general manager and does not require any day to day input from the current owner.

The businesses operate from two premises. The mechanization side and head office staff is housed in the showroom and service building. This is based in Humansdorp and covers the greater Agricultural sector down to George.
The Chemical side and staff operate from a rented factory premises in George.

This business is well worth a look

Property Information

Real Estate:

Lease

Lease Terms:

Long Term Lease
Head office rent paid per annum - R624 000 (Excl Utilities)
Chemical Factory rent paid per annum - R648 000 (Excl Utilities)

Location:

George, Western Cape

Premises Details:

The Mechanical Department rental - R52 000 per month
The Chemical Department rental - R54 000 per month

Business Operation

Trading hours:

Mon-Fri 07:30 - 17:00
Sat 07:30 - 13:00

Employees:
14
Years established:
9

Other Information

Inventory / Stock value:
R7,000,000

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