Florist In Mid Hampshire Town Centre For Sale

Business description

Outstanding retail florist business. Turnover £430,000 Gross Profits £230,000 Adj. Net Profits £70,000. Stock imported direct from Dutch auction houses maximising profits. Business established 38 years ago. Spacious 1,000 sq ft premises with 4 years remaining on a renewable lease. Trained staff. Growing website sales plus retail market stall and Interflora. Dutch flower wholesaler took over the business in 1999 and now wishes to return to Holland. The premises are secured on a renewable, fully repairing and insuring 15 year lease which commenced on 27 April 1999 at a current annual rent of £34,000. There are 3-yearly rent reviews with the next review due in 2011.

Property information

Property:

Leasehold

Location:

LOCATION:
The premises occupy a prime trading position in the centre of this affluent mid-Hampshire market town. The town itself is located close to the M3 with easy access to Newbury, Reading, Farnborough and Winchester.

BUSINESS:
The business was founded in 1972 and continues to flourish. A leader in floral design, this business was among the first to introduce the very popular hand-tied bouquet. After 25 years of successful trading, a Dutch flower wholesaler took over the business in 1999 having previously supplied top flower shops in and around London. Ideally located in a central Hampshire market town the business imports fresh flowers direct from the Dutch auction houses. Direct importation means no middleman, so customers benefit from exceptional value for money yet the business is able to maintain industry-standard gross margins of 54%. The Vendor's extensive knowledge, gained over 15 years as a flower buyer at Dutch flower auctions, combined with top floristry techniques and with shipments direct from Holland, flowers are guaranteed to be fresh. A same-day or next-day delivery service is offered within a 10 mile radius of the shop. A boast of the business is that, flowers can be delivered to customers direct from Dutch auctions within 24 hours.

BUSINESS PREMISES:
(all sizes are approximate and should be considered 'nominal'.)
The premises offer a total of 1,000 sq ft (93.3 sq m) of retail and preparation area with a kitchen/office measuring 73 sq ft (6.8 sq m) and 324 sq ft (30.2 sq m) of basement storage. There are also staff WC facilities.
Note:
Where items of equipment and appliances are mentioned, no warranty is given or implied as to their operational condition.

TENURE:
The premises are secured on a renewable, fully repairing and insuring 15 year lease which commenced on 27 April 1999 at a current annual rent of £34,000. There are 3-yearly rent reviews with the next review due in 2011.

RATES:
The rateable value of the business premises is £26,250, with estimated rates of £12,060.56 payable in 2010/11.
NOTE:
This information has been obtained either from the current rate demand for the property, by telephone from the local authority or by reference to the VOA website. The amount payable is the standard rate for the Rateable Value shown. In some circumstances this may vary, and therefore it is recommended that potential buyers make their own enquiries through the local authority to check the applicable rateable value and whether the rates payable will be the figure quoted above.

SERVICES:
We understand from the vendor that all main services are connected to the property.

TRADE:
Accounts and VAT returns examined by Adams and Co show turnover for the year ended 30 April 2009 reached £459,265 (£491,715 for 2008) with gross profits of £248,822 (54%) for the year. Shop sales account for approx £280,000; Interflora £110,000; Web site £25,000 and growing; Market stall £20,000. Please note that if a business is VAT registered, all figures exclude VAT.

HOURS:
Monday to Friday 08.30 to 17.30
Saturday 08.30 to 17.00
Sunday Closed

STAFF:
The Vendor manages the purchasing responsibilities and is supported by 5 full time and 3 part-time staff. He now spends only 2 days per month in the UK. The business runs under management of a competent staff.

STOCK:
The vendor informs us that the value of the stock is approximately £3,000

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:
The Vendor wishes to return to Holland which has created an exciting opportunity for an experienced, qualified florist to take over the reins of this substantial, profitable, retail florist business.
Financial information will be made available to seriously interested purchasers after they have formally viewed the business.