Homewares Store In Melbourne For Sale

Business description

The vendors of this business have a lifetime of history in decorating. Over this period, spanning more than one generation, they have developed knowledge and feel for the industry virtually unrivalled in Victoria.

They have now opened a number of retail outlets and developed retail systems to facilitate the easy operation of a retail picture framing business backed up by their experience and continued involvement as a supplier to the retail stores. They have also added giftware to the product range to compliment the picture framing operation. They have developed a specific hand writing in the type of giftware offered, which has proved to be a more than significant contributor to sales representing between 30% and 40% of sales.

In addition, certain third party retailers have been appointed authorised dealers for the business. These outlets are specific suburban areas which are tightly controlled and will not affect this business at all. The purchaser will be entitled and encouraged to continue to use the current business name.

The combination of framing, giftware and decorating has worked well for the current owners and the business will be well suited to someone with an interest in decorating, as the interest in this aspect will rub off on the sale of giftware and framing services. The vendors will be available in the long term to advise and assist with this, if required.

Operations:

The business currently operates:

• Monday to Friday 9.00 a.m. to 5.00 p.m.
• Saturday 9.00 a.m. to 1.00 p.m.
• Sunday Closed

The recent economic conditions have had very little affect on the business, as there is a stable demand for picture framing at all times. The sale of giftware was affected but has returned to growth.

Market / Customer:

The customer base is huge and wide and covers any type of framing requirement from pictures to object d’art, mementos, sporting memorabilia, etc. There is a data base of approximately 2,500 customers, which is used to promote direct marketing. Other marketing activities include champagne nights, special guests and Christmas previews. These occasions generally attract about 100 customers and are held about four times a year.

A large and growing market is for commercial applications, for offices and schools for certificates and awards.

The factory spends approximately $26,000 p.a. on marketing the name and product of the business and will continue to do so after the sale. All sales are cash or credit card.

Customer relationships are excellent, with a very high level of repeat business, because of the high end profile of the product and the sound advice offered.

Products / Services:

The business employs qualified picture framers to produce highest quality frames and constantly trains staff to maintain high quality levels. The owners have 25 years of experience in the picture framing business.

Superior timber and products are used to maintain the highest quality and emphasis is placed on an attractive and functional display of the product range at retail level.

Customers bring articles to be framed, and staff enquire about the significance of the object to be framed, and its eventual use in the home or office. They then advise the customer on the best possible framing technique to achieve the desired result in the home or office. This expertise will passed onto the buyer through a generous and extended training and handover period, and continuing advice thereafter. The information is entered into a computer, which prints a quote for the customer and provides details to the factory to produce the product.

Finished articles are delivered twice a week to the retail store, with new work being picked up at the same time. Delivery is normally between a week and ten days.

All jobs require a 50% deposit.

Premises:

The premises are leased with two years remaining on the lease. Further options to renew will be granted by the landlord. The shop is 120 sq.mt. in extent and has toilet, kitchen and storage facilities. Rental is currently $25,000 p.a.

Plant/Equipment / Fittings:

The following equipment is included in the asking price:

2x counters $1500.00 each
1x cash registrar $500.00
2x computers $500.00 each
Fax machine & Printer $1000.00
Alarm $500.00
Security system $3000.00
Cupboard to hide Alarm, lights etc $1200.00
Hanging System $1500.00
Frontrunner $2500.00
Carpet $2500.00
Kitchen Fridge $300.00
Kitchen table setting $500.00
Work Bench and Cubicles $1000.00
Selling tools, moulding & caddies etc $800.00
Book shelf for catalogues $500.00
Catalogues $500.00

Management / Staff:

The store is operated by one of the vendors with one part time employee and one casual employee. The casual employee will no longer be required, as the tasks currently performed will be handled at the factory.

The vendor performs the function of management, buying and training, but the store has previously run totally under management.

The owners take enormous pride in the quality of their workmanship and expertise in the field of picture framing and decorating. Their staff (both retail and factory) has been effectively trained to mirror this pride of workmanship, which reflects in the quality of the product and services and consequently the price commanded in the marketplace. Staff is continuously trained and assessed, with new skills being introduced regularly.

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To receive additional information on this business, please contact Steve Lentin by clicking on the contact seller button below.

Property information

Location:

Outer Eastern Suburb

Premises details:

See report

Size in square feet:

1,200

Business Operation

Trading hours:

The business currently operates:-
Monday to Friday 9am to 5pm
Saturday 9am to 1pm

Employees:

2 Part time

Years established:

2004

Other information

Support & training:

As required. Ongoing supply of picture frames

Furniture / Fixtures value:

$18,000 (included in the asking price)

Inventory / Stock value:

$40,000

Relocatable:

This business can be relocated.