Chain Of Two Thriving Hair Salons In Krugersdorp Area For Sale

Business description

Long established chain with 7 year history. Situated in two busy shopping centers in Krugersdorp, these two updated, fully equipped hair salons have a vibrant established trade with contracted stylists. Much care and attention has been given to producing a local brand which represents quality and outstanding service in Krugersdorp. Locations have been selected to ensure maximum exposure and foot traffic. Average monthly net for each store is R30,000 or a combined total of R60,000. Significant potential for growth.

Property information

Real Estate:

Lease

Lease terms:

One lease till 2013 and one is 2011

Leasehold rent:

R492,000 per annum

Location:

2 well established malls in Krugersdorp suburbs, high traffic and excellent visibility. Both close to anchor tenants.

Premises details:

Modern decor, updated equipment, quiet relaxed atmosphere. Chic decor.

Other information

Expansion potential:

This is a chain and there was origionally a plan on the table for 5-7 stores. The market in the area would definately support expansion of this type...as well as offering the opportunity for more agressive marketing of products.

Competition / Market:

One shop has no competition in the designated store, the other location has two other stores which offer some competition, one barber shop and one hair stylist...however, foot traffic and volume of clients is such that the other stores are not a hinderence to a strong turnover. Further, at the location with competition, the shop that is for sale is of a diffrent caliber and attracts a specific clientel not threatened by the other establishments.

Support & training:

manager in place that can offer significant assistance

Reasons for selling:

Business is family owned and run. Daughter is managing the two stores and recently had a baby. Is looking to spend more time with family and finds that the demands of two stores is too much in conjunction with family life.

Financing available:

Broker has some access to financing for approved buyer

Furniture / Fixtures value:

R490,000 (included in the asking price)

Inventory / Stock value:

R32,000 (included in the asking price)