Coffee And Muffin Shop In A Shopping Centre For Sale

Business description

Business Details
The particular highlights of the business are:
- A well established business.
- Good loyal clientele.
- Fully equipped business with favorable lease terms (see below).
- Turnover in excess of £240,000 with a gross profit of £168,000 (see financial summary below).
- A business with great potential which has not been exploited by the current owner.
- An easily run operation.
- Good loyal well trained staff.
- Low rent and rates.
- Very low overheads.
- A niche concern with very little competition.
- Business enjoys superb local reputation.
- The concern provides coffee, muffins and light snacks.
- It is part of the BB’s franchise.

History
We are delighted to place onto the market this Coffee and Muffin shop which has been established since 2003. The business has been in the hands of the current owner since 2003 and now wishes to sell due to other business interests.

Services
This very good business opportunity provides coffee, muffins and light snacks.

Staffing
The concern employs 5 part-time members of staff.

Owners Role
The owner is involved in the day to day running of the business.

Marketing
The owner has a website.
No marketing or promoting of the business has recently been undertaken as the business is well known.

Competition
There is no local competition that sells muffins.

Market
The client base consists of shoppers and staff from the shopping centre.

Opportunities
The concern has huge potential. In particular the turnover and profits can be increased by:
• Increasing the marketing activity with direct mailings including local and internet advertising.
• Increasing the product line to include a larger menu.
• Becoming more efficient with staffing levels.
• Working more hands on hours and saving on wages.
• With an enhanced website.

Training and Handover
The owner would be available for an extensive training and handover period for the benefit of the new owners if required. The owner would also be happy for an on the job observation period to assess the business prior to offers being made.

PROPERTY DETAILS
The unit is part of the main food hall within the shopping centre. There are electric shutters and a CCTV system. The main customer service area is tiled. It is very well presented and is very conveniently laid out.

The café has 60 covers. The customer service point is to the side with displays cabinets and an overhead menu.

EXTERNAL
To the front there is a sitting area.
To the rear is a store room.

EQUIPMENT WITH SALE
All fixtures, fittings and equipment are included in the sale price and are valued at £100,000.

FINANCIAL DETAILS
The present annual turnover is over £240,000 with a gross profit of 65%. The wages are £500 p/w. The present value of the stock is £5,000.
The potential turnover of the business within the next 2 years is forecast to reach £350,000 pa given the changes that are required to be made to the business. Full financial disclosure is available on request after viewings and the signing of a confidentiality agreement.
Please note Phoenix do not guarantee the accuracy of these figures which are in many cases estimated and are not verified. Please do not rely on the accuracy of these figures and seek professional help before making any offers. Phoenix will not be held liable for any inaccuracies in these figures or any other statements contained in relation to this business.


Disclaimer
These details do not constitute part of an offer or contract.
The statements and descriptions given are made without warranties by Phoenix Business Agents Limited who it should be noted have NOT verified the information provided.
Purchasers should in all cases undertake financial due diligence using their own professional advisors before committing themselves in contract rather than relying on illustrations, figures and information given on behalf of the seller.

Property information

Property:

Leasehold

Lease terms:

The original length of the lease was 3 years with 3 years remaining. The rent is £45,000 pa and service chargers to the shopping centre of £12,000. The lease may be renewable or negotiable for longer term if required. The rates are £25,000.

Leasehold rent:

£45,000 pa per annum

Location:

- Situated in the Main Food Hall area of a Regional Shopping Centre in Essex.
- Prominent location in the main food area.
- Excellent free parking facilities.
- High levels of passing trade.
- Good volumes of pedestrian flow.
- Commercially thriving area with many shops in the shopping centre.
- Well linked with the M25.
- Central London and Dartford Crossing both lie close by.
- Area enjoying much growth and regeneration.
- Excellent local demographics for this type of area.

Premises details:

The unit is part of the main food hall within the shopping centre. There are electric shutters and a CCTV system. The main customer service area is tiled. It is very well presented and is very conveniently laid out.

The café has 60 covers. The customer service point is to the side with displays cabinets and an overhead menu.

EXTERNAL
To the front there is a sitting area.
To the rear is a store room.

Business Operation

Expansion potential:

The concern has huge potential. In particular the turnover and profits can be increased by:
• Increasing the marketing activity with direct mailings including local and internet advertising.
• Increasing the product line to include a larger menu.
• Becoming more efficient with staffing levels.
• Working more hands on hours and saving on wages.
• With an enhanced website.

Competition / Market:

There is no local competition that sells muffins.

Reasons for selling:

Owner wishes to sell due to other business interests.

Trading hours:

Monday to Friday: 10.00 am – 10.00 pm.
Saturday: 9.00 am – 9.00 pm.
Sunday: 11.00 am – 5.00 pm.

Employees:

The concern employs 5 part-time members of staff.

Years established:

Established since 2003

Other information

Support & training:

The owner would be available for an extensive training and handover period for the benefit of the new owners if required. The owner would also be happy for an on the job observation period to assess the business prior to offers being made.

Furniture / Fixtures value:

£100,000 (included in the asking price)

Inventory / Stock value:

£5,000