20-year metal component supplier to manufacturing industries, as well as having an ancillary product line, and some 150 clients of which 50 are Vendor numbered clients. The norm in turnovers is in the region of R6.3m-R6.5m p.a., with some years (depending on new machinery/ process implementation by clients) peaking in the R7m range. The Net Profit/EBITDA, including owners benefits for 2026, is some R1.8m, which could be R2.2m, should the purchaser be willing to carry out some senior tasks of the present Manager, who could then be replaced by an assistant.
Products are mostly imported & are required by a number of Industry Sectors / Players across KZN, but mainly within greater Durban.
The purchaser of this business should have some knowledge with respect to the varying types of steel & their strengths - so as to be trained on the products by the seller & then interact with the clients (technical managers), noting that overseas suppliers assist where required.
For confidentiality purposes the actual products will only be disclosed at a much later stage of the sale process of this business.
Within the stock in hand, some products will be modified by the stock/metal worker on site at the business, in advance, based on normal requirements.
Stock is managed and re-ordered from overseas, with importation processed in-house, so as to ensure that clients product requirements are on hand for immediate dispatching.
Client queries, especially regarding new machinery / processes are discussed with the owner to ensure new products will perform, as well as, the old components.
Produced monthly in arrears and used in this Report, excl VAT.
Stock invoiced outwards is recorded as dispatched against that months' sales.
Sales generally occur around 40 times a month to different clients, ranging from some R1k to R50k, with the average around R15k (excl VAT).
Annual Results: 2023 R6.5m, 2024 R7.3m, 2025 R7.6m, 2026 R6.3m, being a normal rolling cycle with an Av of R6.9m & thus a higher average NP than within this Report.
This Report has rounded figures for expenses, while the exact expenses (which will be lower) can be verified at a later stage against the MAs, invoices, bank statements.
This PTY will be sold through a transfer of its shares, in order that the Vendor numbers, Import/Export licence & Bank account are retained to the benefit of the ongoing business with suppliers and clients.
Required stock holdings will be in the region of R1.4m to R1.7m, being assessed & paid for on takeover.
- Asking Price:
- R3,600,000 Furniture / Fixtures included
- Sales Revenue:
- R6,340,000
- Cash Flow:
- R1,830,000
Property Information
- Premises Details:
-
The Purchaser could operate this Durban business from their home or new business premises that allow for 20m2 offices, 40m2 stock room, & 20m2 metal working area.
This report has an expense provision of R60k pa (which would be added to the quoted NP should it be operated from home).
Business Operation
- Management type:
- This business is owner operated.
- Trading hours:
-
M- F: 8-16h00
- Employees:
- owner plus 3. Should a buyer wish to take over the senior aspects of the R42k pm manager's position, then some R360k pa could form part of an increased NP to R2.2m pa (while still retaining some R12k pm in the expenses for another new top assistant for the junior aspects).
- Years established:
- 20+
Other Information
- Support & training:
-
Retiring at a ripe-old age, but within range to be available to consult into the future.
- Furniture / Fixtures value:
- R180,000 - included in the asking price
- Home based:
- This business can be run from home
- Relocatable:
- This business can be relocated
