Busy Newsagents In Rotherham Town Centre For Sale

Business description

PRICE REDUCTION TO ATTRACT QUICK SALE. Located in town centre on main shopping street, weekly takings in region of £11,000 with lottery and PayPoint commission extra. Rent £19,250 per year, 6 years remaining on renewable lease. Currently run under management but would ideally suit an owner operator.

Property information

Property:

Leasehold

Location:

LOCATION:
This shop is located in Rotherham, on one of the main shopping streets in the town centre. It is situated on a pedestrian precinct with high footfall and is surrounded by other quality retail outlets.

BUSINESS:
This shop trades as a traditional newsagents selling a range of tobacco, newspapers, magazines, confectionery, greetings cards, cold drinks and snacks. It is also a National Lottery and PayPoint agent. The shop currently trades under the name Arden News but this is not included in the sale and the new owner would need to re-brand the business.

BUSINESS PREMISES:
(all sizes are approximate and should be considered 'nominal'.)
The premises are within a purpose built modern block of units and have fully glazed frontage secured by electric shutters. The retail area on the ground floor is well presented and measures approximately 512 sq. ft. It is equipped with wall mounted magazine display unit, wall mounted greetings cards display rack, racking for confectionery, upright chilled drinks cabinet and cigarette gantry. There are lottery and paypoint terminals and serving counter located towards the rear of the shop. Storage facilities are located on the first floor..
Note: Where items of equipment and appliances are mentioned, no warranty is given or implied as to their operational condition.

TENURE:
This is a leasehold opportunity and there is a 10 year lease in place which commenced June 2008 and expires in 2018.
There is a tenant only break clause at 24th June 2013. The lease is within the LTA 1954 and as such renewal rights apply. The current rent payable is £19,250 per year. Please be aware that the landlord will require references to support your application as a tenant and a rent deposit of between 3 and 6 months may be requested.

RATES:
We are advised that the rateable value for the business premises for the financial year 2011/12 if £18,000, and the rates payable are £7,794.
Note: It is recommended that potential buyers make their own enquiries through the local authority to check whether the rateable value remains correct and whether the rates payable will be the figure quoted above.

TRADE:
From information supplied by the owners, turnover for the 12 months ending July 2011 was £584,981 with a gross profit of £103,166. Detailed figures can be found at the end of these particulars and have been signed and verified by the Financial Director of the Limited company who currently owns the shop.
Please note that if a business is VAT registered, all figures are net of VAT.

HOURS:
Monday to Saturday: 8.30am to 5.00pm.

STAFF:
This shop is one of many owned by a large company and as such is management run. There are currently 6 members of staff employed who work a total of 137 hours a week. These include a manager, assistant manager and 4 part-time members of staff.

STOCK:
The vendor informs us that the value of the stock is approximately £28,000.

LEGAL FEES:
Vendors and Buyers each to meet their own legal costs, but if a lease is to be assigned from the vendor to the buyer they will also be expected to share the landlord's legal costs on a 50/50 basis. If a buyer wishes to negotiate a 'new' lease, they will be responsible for all the landlord's legal costs.

COMMENTS:
1. National Lottery and other agencies
The transfer of a National Lottery agency or any other agency are at the sole discretion of those operators. In some instances a transfer could incur the payment of a "bond" or deposit to the agency confirmed.

2. Deposits
Successful bidders are to pay a non-refundable deposit to Adams and Co of £4,000 which will be offset on completion of purchase against the purchase price. In the event the purchaser reneges on the agreed terms and conditions of a sale and purchase, the deposit will be forfeited. In the unlikely event the vendor withdraws, the deposit will be repaid in full.

3. Timescale
The sale and purchase of the subject businesses will be on a Subject to Contract basis. Time will be of the essence, insofar as proposed purchasers will be required to enter into a contract, albeit conditional upon landlord's consent and within a maximum of 21 days from the date that draft documents are received by their solicitors. Proposed purchasers should ensure that their solicitors are made aware of this condition of sale and are capable of dealing with the vendor's standard form of contract within the required timescale.

4. Trade fixtures, fittings and equipment
The business is offered for sale as going concerns to include most of the fixtures, fittings and equipment. However, any scanning system/tills will NOT be included in any proposed sale. The home news delivery (HND) computers (where applicable) can be included, but are subject to separate negotiation. In the event that a purchaser does not require a computerised HND system, the vendor will provide a list of delivery customers and debtors and it will be the purchaser's responsibility to acquire and install a manual system. Inventories will be made available once sales have been agreed. In addition to items owned by the vendor and included in the proposed sales, these inventories will also include items that are the property of suppliers and/or manufacturers and proposed purchasers should make their own enquiries with regard to the continuing use of these items.