Massage And Beauty Therapy Business For Sale

Business description

Business Description Summary:

The business commenced operations in 1996 as a massage therapy business and as the business grew, beauty and spa facilities were an obvious extension to a successful format. To accommodate the expansion the business moved to larger premises in 2004, where it still operates one of its two clinics, both of which are located in one of the country’s fastest growing corridors.

The owners were pleased with the results of the new combined format of massage therapy, beauty therapy and day spa treatments, and decided to replicate the formula by opening a second store in 2006. At this time the name of the business was changed to be more appropriate for a business progressing from a local suburban operation to a multi-store format with opportunities for expansion and franchising.

The model is successful in different locations and it is not a requirement that the owner be a beauty or massage therapist. The business has systems, expertise and an overall philosophy which have filled a gap in the growing market, which is rapidly moving from a luxury to a necessity. Discussions were commenced with a view to commencing franchise operations, but these plans were put on hold in late 2007 due to family commitments.

Operations:

Operating hours are:

Monday to Friday 9.00 a.m. – 8.00 p.m.
Saturday 9.00 a.m. – 5.00 p.m.
Sunday 10.00 a.m. - 3.00 p.m.

Market / Customer:

The company has established a strong, regular and loyal clientele base over the twelve years of its operation and has developed a good reputation for quality services that are affordable, professional and reliable.

Most clients are regulars with:

• 30% being weekly clients (20% of which are new)
• 20% being fortnightly clients
• 20% being monthly clients
• 10% only being irregulars

Massage therapy clients represent 80% in one of the clinics and 60% in the other, with the balance of treatments being beauty and spa related.

Products / Services:

The following are the services offered by the business:

• Massage – ranging from 30 minutes to 2 hours
• Ear candling
• Hot stone massage
• Pedicure
• Manicure
• Spray tan
• Facials
• Aroma therapy
• Non surgical face lift
• Tinting
• Waxing
• Body scrubs
• Body wraps
• Weight loss wraps
• Detoxification masque
• Cellulite reduction
• Skin firming and toning body wrap
• Vischy shower (Store B only)

Premises:

Store A

Store A occupies 84 square metres, has three massage rooms and one beauty room. The lease is a three year lease expiring on 31st March 2009. There are two, three year options for renewal. The rental is $1,602 per month and the owners hold a first option to purchase the premises, which can be transferred to the new owner.

Store B

Store B occupies 120 square metres, has three massage rooms and two beauty rooms, including a Vischy show and pedicure chair. The lease is a three year lease expiring on 19th August 2009 with two, three year options for renewal. The rental is $1,421 per month net after recoveries from other tenants. A master lease is held for the entire premises, parts of which are sub-let to reliable tenants.

Plant/Equipment / Fittings:

The value of equipment in Store A is $37,000 and in Store B is $48,000 and detailed lists will be provided.

Management / Staff:

All massage therapists are sub-contractors and earn 60% of revenue from services rendered.

Beauty therapists have the option of working on the same basis or being employed on a casual basis for up to 20 hours per week.

The business employs 18 sub contractors and 4 casual staff.

To receive ADDITIONAL INFORMATION on this business, please contact Steve Lentin.

Property information

Real Estate:

Lease

Lease terms:

Leased to 2009 with 2 x 3 year option for renewal.

Location:

Busy strip shopping precinct

Other information

Expansion potential:

Huge, including possible franchising

Support & training:

A generous training and hand over period will be granted.

Reasons for selling:

Family commitments.

Trading hours:

7 Days

Furniture / Fixtures value:

$85,260 (included in the asking price)