Interior Design Consultancy For Sale

Business description

Established Interior Design Consultancy and Soft Furnishings Retailer

Established in 1978 in its current premises, this family run business has grown steadily over the years and has established an excellent reputation for quality of workmanship and high levels of customer service. This has contributed significantly to it having built an extensive base of repeat Clients located right across the Surrey commuter belt and even further afield.

Operating from a very prominent High Street retail location in this affluent Surrey market town, this business offers an Interior Design Consultancy service based around a core of fabrics, curtains and furnishings alongside which there is a thriving making up and fitting service. The workmanship is to a truly high standard.

This business would not be out of place in Knightsbridge or Kensington working as it does with all the leading brands including Designers Guild, Colefax and Fowler, Osborne and Little, Romo Fabrics and Andrew Martin.

The business is unique in the area with few competitors and is therefore perfectly placed to satisfy the significant demand from the affluent residents of surrounding towns and villages. Alongside the domestic household projects that represent approximately 70% of total turnover, there is a thriving trade business – which includes show home work for a number of the UK’s leading building developers and projects on behalf of several local lettings and property management agencies. Regardless of the size of the project – from the smallest set of cushion covers through to a complete home design concept this business prides itself on its detailed knowledge, experience and expertise, competitive pricing, high levels of customer service and after sales service.

This business has a two tier pricing structure – working either on a straightforward margin on the cost of sale or alternatively and increasingly more frequently it charges a fee for its design consultancy for which it manages its suppliers and manufacturers, passing on its trade discounts where they are available.

With turnover in recent years consistently in the region of £500,000 generating gross profits of around 30%, this is an excellent opportunity to acquire a very well established business with an excellent reputation for quality and service and an extensive, repeat Client base.

Property information

Property:

Leasehold

Lease terms:

The leasehold premises are high profile, located in an established High street position.
On the ground floor only, the annual rent and rates bill is £13,500. The lease has three years to run but it is thought could easily be extended.

Other information

Expansion potential:

Despite being in operation for many years there are still many avenues of growth available to this business as it continues to evolve in response to changes in the marketplace. This business has an excellent opportunity to build up the fee paying, consultancy side of its business, which is a relatively new development – with a consequent positive impact on cash flow, turnover and profitability – with customers paying the suppliers direct and fees charged going straight to the bottom line.

This business does little in the way of advertising and marketing relying on its excellent reputation and word of mouth recommendation. What advertising it does do is limited to the manufacturers’ stockists listings in the major trade press and it is arguable that the local profile of the business and its consultancy offering in particular could be raised. This is particularly relevant to the trade side of the business in relation to the many Architects, Specifiers, Lettings and Management agencies and building developers with show homes there are in the area.
This business does not have a web presence. With Internet retailing becoming an increasingly important source of revenue for many companies, with the excellent reputation this business has built up within its local area an effective, well designed web-site either acting as a brochure for its excellent range of services or better still focussing on the retail side of the business, would have a significant impact on turnover and profitability.
There is also a significant amount of upscale property within the area as well as a high level of new development – a potential market that remains largely unapproached and as such untapped.

Competition / Market:

Having been established for almost thirty years this business does little by way of advertising, relying on the most effective form of marketing, word of mouth recommendation, testimony to the excellent reputation this business has for competitive pricing and high levels of quality workmanship. What advertising this business does do is limited to its inclusion in manufacturer stockists listings in the trade glossies. Perhaps its most effective advertising however is its High Street location which acts as a very impactful advertising hoarding.

Support & training:

The vendors will be available for training and handover to ensure a smooth transfer of the business to new Owners

Reasons for selling:

This is a genuine retirement sale.