Leasehold Cafe In Leicester Price Reduced For Sale

Business description

The particular highlights of the business are:
- Ideally located concern offering excellent lifestyle.
- A well established business.
- Good loyal clientele.
- Fully equipped business with favorable lease terms (see below).
- Turnover in excess of £85,000 with a net profit of £41,000. (See financial summary below). This is very impressive considering the credit crunch.
- A business with great potential which has not been exploited because the owner wishes to retire.
- An easily run operation.
- Good loyal well trained staff.
- A good first time buyers business.

History
Phoenix Business Transfer Agents are delighted to place onto the market this highly profitable leasehold cafe which has been established since 1971. The business has been in the hands of the current owner since 1998 and he now wishes to sell due to retirement.

Services
This very good business opportunity provides a full English café menu with an eat in or takeaway option.

Staffing
The concern employs three part-time staff.. All staff would stay on after a sale.

Owners Role
The owners’ role is hands on and he works five days per week.

Marketing
The owner is currently not implementing any marketing activity and does not have a website.

Competition
As far as competition is concerned there is none in the immediate area.

Market
The client base consists of locals and passing trade.

Opportunities
The concern has huge potential. In particular the turnover and profits can be increased by:
• Increasing the marketing activity with direct mailings and local and internet advertising.
• Increasing the opening hours to include Sundays and late afternoons.
• Becoming more efficient with staffing levels.
• Working more hands on hours and saving on wages.
• With the introduction of a website and e-commerce.

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.


The present turnover is £88,400 per year with a net profit of £41,000.
The potential turnover of the business within the next 2 years is forecast to reach £128,000 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 5 years with 2.5 years remaining. The rent is £5,400 pa with a review in 2013. The lease may be renewable or negotiable for longer term if required. The rates are £280 pa.

Leasehold rent:

£5400pa per annum

Living accommodation:

Second Floor On the second floor there is an apartment which is not included in the lease.

Location:

- Situated in Hinkley Road area of Leicester
- Prominent location on main arterial road
- Excellent free parking facilities nearby
- Industrial estates nearby
- Surrounded by a densely populated residential area with schools and other local amenities.
- Area offers exceptional lifestyle
- High levels of passing trade
- Good volumes of traffic and pedestrian flow
- Commercially thriving area
- Well linked with the A47 and A563.

Premises details:

The property is in a prominent position facing a filling station. The front is branded with an attractive front. The main customer service area is tiled. It is very well presented and is very conveniently laid out. The café has 14 covers. The customer service point is to the rear. There is an overhead menu. To the rear is a store room. There are a toilet and staff facilities and a fully equipped office.

First Floor
On the first floor there is the café, kitchen, toilet and office.

Second Floor
On the second floor there is an apartment which is not included in the lease.

External
To the rear there is a small shared yard.

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 and local and internet advertising.
• Increasing the opening hours to include Sundays and late afternoons.
• Becoming more efficient with staffing levels.
• Working more hands on hours and saving on wages.
• With the introduction of a website and e-commerce.

Competition / Market:

As far as competition is concerned there is none in the immediate area.

Reasons for selling:

he now wishes to sell due to retirement.

Trading hours:

Monday to Saturday: 7.00am to 1.45pm
Sunday Closed

Employees:

The concern employs three part-time staff.. All staff would stay on after a sale.

Years established:

40 years

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.