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Independent Profitable Hardware And Paint Business In Gauteng For Sale

Gauteng, Gauteng, South Africa
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For Sale
This is an ideal opportunity to acquire a stand alone independent profitable suburban hardware store based in cental Gauteng.

Having been in operation for many years and owned by the current owners for nearly 20 years this business has proven that it could stand the test of time.

Located in a very busy suburban shopping node, the business sells products to a variety of clients, DIY enthusiasts and small builders. It is well known in the area and has built up a name for good service, competitive pricing and a full range of products. It has a seperate store room for building materials and facility for gas filling of cylinders.

It has a well stock range of paints and small scale mixing.

Other stock and services features a wide range of hardware, tools, batteries, key cutting and allied products to satisfy the needs of clients. Stocks are controlled on a well run POS system.

The business has a small complement of knowledgeable, hardworking and loyal staff and the owners are also involved in the day-to-day management of the store.

The business is VAT registered and trading as a CC which the buyer may want to take over if interested.

The business location has excellent visibility located in a popular suburban shopping node. The premises includes a store room, office and trading area. Display of stock well presented on neat shelving.

Sellers Discretionary Earnings, also known as EBPITD (Earnings Before Proprietors Compensation, Interest, Tax and Depreciation) based on historical and signed off financial statements amounts to R908,976 SDE per annum or R75,748 per month.

The price of R3,450m excludes VAT(if applicable) but includes stock to the value of about R1,200m and Movable Assets in a good condition of R133,000 as a going concern.
The business offers a good ROI of 29%.

Sales, despite a slow down in economic activities have remained fairly strong year on year while maintaining good margins. Sales are nearly all cash including credit card sales.

The reason for the sale is that the owner wants to re-locate to the Western Cape.

The business has potential to grow further based on an excellent reputation built up over many years.
Sales can be boosted with longer trading hours over weekends.

The business will suit someone who will work in the business with the help of very experienced and loyal staff.

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