SOLD - by ALDES Cliff Bell 1 Feb 2024 - Transferred
Net Profit of R2.37m off a R19m of turnover being sold at R5.4m excl. R100 000 stock.
25 yr food distribution business in Durban, growing each year, with a diversified & large client base (160) - hotels, restaurants, etc (largest being 9% and 7% of turnover)
Orders are normally received the preceding day via email, with the cold products received from the suppliers, then stored and transported in their vehicles to the clients under cold conditions, with the majority of stock received & delivered within 6 hours, 6 days a week. Minimal stock is kept in coldrooms for up to 2 months, i.e. low stock holding.
5 x 1 ton trucks (3 refrigerated & 2 just insulated) are rotated with 2-3 normally used a day (result of COVID impact off a previous R24m turnover)
all necessary 3x office equipment & furniture
all in well-looked-after condition
The original cost was some R1m, while the present 2nd-hand replacement value then sale value might be some R600k-R450k
everything is free-hold & should last another 5–10 years, noting that repairs & maintenance costs have been historically accounted for in this Report.
Management accounts are produced monthly in arrears and will contain all the details.
The shown NP of R2.37m for the Year ended Feb 2023, is inclusive of the owners benefits (as is the norm).
Debtor's generally pay before Creditor's are settled, resulting in mostly a positive cash flow position.
All past Annual Financial Statements are available.
The Business will be sold as a Going Concern out of the CC, with current assets and liabilities to the benefit & account of the Seller, at the Effective Date.
