Business Summary
Total Selling Price: R 16,5 M (Including Property)
Total Sales Annual: R 11,5 M
Net Profit Annual: R 2,9 M
The business was established in 2001 as a diverse and innovative manufacturing company, specializing in sheet metal fabrication, designing, supply and installation of quality products and equipment, manufactured according to client’s specifications and requirements. The company generate its revenue currently from manufacturing of Stainless Steel products (65%), Mild Steel (30%) and Aluminum (5%). The business is equipped with state of the art and the latest technology equipment to perform the following functions; CNC Laser Cutting, CNC Bending and Punching, Tig Welding and Guillotining. The Trumpf Trumatic L3030 flatbed laser cutting machine is the work horse of the day-to-day service to the customers, with its reliable efficiency and speed. This machine operates according to the 'flying optics' principle, whereby the sheet remains stationary and the laser beam is moved across the working area.
The client base has been built up from a network of over 22 years and consists from a large diversified range of industries. The clients mainly consist of light industries that do not have the specialized equipment, wholesale companies in the catering industry, manufacturing corporate companies that outsource components for mass production and special projects that involve a unique product range.
The entire business operates with six highly trained employees and the business has grown over the past three years with an average revenue of over 20% per annum. The net profit (EBITDA) before tax of 20% provides a very healthy and high-income margin that ensures a good constant cash flow. The owner wants to retire at the coast and is willing to stay in the business for a successful transition period to the new owner. Any prospective buyer will have the option to purchase the going concern or alternatively 100% shares in the company and the business is for sale with property included. The property was recently valued by an independent adjudicated valuation company for R7,5 Million.
The potential purchaser needs to meet the following criteria:
• Provide verifiable proof of the total purchase price or total unencumbered cash available;
• Preference will be given to a prospective purchaser with the total purchase price available;
• Complete a Non-Disclosure Agreement and attach proof of above documentation;
• The seller will have the right to accept or reject the above documentation;
• Upon receipt of instruction from the seller a compulsory introduction meeting shall be arrange before any information will be disclosed.
There are certain terms and conditions and requirements in terms of our agreement with the seller under which we are restricted. No detailed operational/financial information will be disclosed without the required documentary and sours documents being processed according to the seller's criteria.
