Highly Profitable Furniture Retailer For Sale

Business description

Established for nearly sixty years this business has been a firm favourite for several generations of families, looking to purchase the very best furniture for their homes.

Very much a feature of the High Street of this lively Kent town and with only one other local competitor, this very profitable business, operating from over 18,700 square feet of showroom, specializes in all areas of home furnishing. As well as a wide range of furniture such as Suites, Chairs, Cabinets and Dressers this business has an exquisite range of Carpets, Stylish Beds and Bedding as well as Curtains, Blinds and rugs, stocking only the best brands available, many sourced through the two major Buying Groups this business belongs too. Whatever the room, whatever the requirement, excluding fitted kitchens or fitted bedrooms, this is the place to go.

As one would expect from a leading independent retailer, what sets this business apart from the competition is its helpful, friendly and knowledgeable staff. All staff have considerable experience in all areas of home furnishing. Personal service is paramount and all staff are focused on providing the personal touch that makes the whole shopping experience enjoyable, regardless of the amount spent. Where this business also scores well over the perhaps better known competition is its high levels of Customer service. Local deliveries are free. This business also offers free furniture assembly and free furniture removals.

Not surprisingly for a company that has been established this long this business has an extensive and loyal customer base – having furbished the second, third and in many cases the fourth homes that some customers have moved in to – as well as their childrens’ properties. Customers are drawn from a very wide catchment area, attracted by the wide range of choice, the competitive prices but above all the personal service. Demonstrating clear loyalty to the business many customers profess that ‘they would be lost’ if this business were to leave the High Street.

As a result of this enthusiasm this business very clearly bucks the trend for furniture retailing in the UK High Street. It has made a profit in every year of its operation and over the last three financial years, turnover has consistently exceeded £1.1 million, generating gross margins of 26%. In the most recent financial year, pre-tax profits were in excess of £85,000.

Property information

Location:

This business occupies a prime High Street location with significant passing traffic and high levels of footfall, in a very busy Kent town. The town which has good commuter links into London is currently experiencing considerable re-development, which will generate significant custom over the next period of time.
Situated adjacent to a major supermarket and very close to ample car parking, the business occupies two linked sites – one freehold and one, leasehold. The basement and Ground Floor of the main building each offer approximately 5,700 square feet of retail space with some warehousing on-site at the basement level at the High Street front of the building and at Ground floor level at the rear of the building. The first floor is approximately 3,000 square feet of retail space including a small office and the second floor offers a further 2,300 square feet and is currently used as auxiliary storage space.
The Soft Furnishings department is situated on the Ground Floor of an adjacent building linked to the main building. Occupying a further 2,000 square feet with some space given over to storage these premises are subject to a five year lease with a review due in 2007. Annual rent is £16,500.
Rates are £17,925 per annum.
The freehold premises will be available either leasehold or freehold subject to a separate negotiation. The freehold has recently been independently valued at £650,000.

Other information

Competition / Market:

A high proportion of the business's revenue is due to strong word of mouth recommendation, much of it generated due to the business being established for so many years. Perhaps its most effective form of advertising however, is its site, acting as it does as a major advertising hoarding to the huge volume of customers that pass its doors each day. What advertising the business does is limited to local editions of Yellow pages and the local press - full colour display ads in the local ‘paid for’ titles and supplemented by the local freesheets at sale times. The business also has a very well designed and informative web presence that performs well in all of the major search engines for all appropriate search terms and includes some interactive content provided by key suppliers.

Support & training:

The Owners will provide full business familiarisation, training and handover to ensure a smooth transfer of the business, with one of the current Owners potentially available on an on-going basis.

Reasons for selling:

This is a genuine retirement sale.

Trading hours:

The outlet is currently open between 9.00 and 5.30 Monday to Saturday.