Textile & Clothing Silkscreen Printer In Durban For Sale

Business description

A well established, highly reputable and profitable textile & clothing silkscreen printer that has state of the art German machinery and design equipment. The business has a blue chip customer base and long serving skilled staff. There are still opportunities to increase sales and profitability. Located on the outskirts of Durban CBD.

Over 19 years the owner has built-up a blue chip customer base through quality product and service delivery. The manufacturing process runs 24 hours Mondays to Thursdays and one day shift on Fridays. The business has one 5 year contract with 3 years still to complete to supply print for an up market national chain store.

With state of the art machinery producing high quality product the business has niche volume customers at premium prices as they are able to print more colours than their competitors. It is a well established business with long serving skilled staff.

Property information

Real Estate:

Lease

Lease terms:

Lease expires in December 2015, but can be extended at some 10% pa.

Leasehold rent:

R581,100 per annum

Location:

Outskirts of Durban CBD

Premises details:

2660 sq mt with the lease expiring in December 2015, but is renewable at some 10% pa.

Size in square feet:

2660 sq mt

Planning consent:

n/a

Business Operation

Expansion potential:

Take advantage of the weakening Rand to substitute local production for imports, especially on the back of the Governments/DTI pressure on retailers to increase local spend. Increase volumes to work night shift on Fridays and Sundays.

Competition / Market:

Although there is competition in the industry the business has a competitive advantage in that it can print more colours than all except one printer. But, the business has an excellent reputation for high quality product and service which is achieved by state of the art German machinery and long serving skilled staff. The business has a niche market in Character prints and is accredited by one of the large national clothing chain stores. In the fashion industry turnaround time is of paramount importance and this business has through continuous efficiency improvements achieved outstanding turnaround times which gives it the edge on local competitors and a huge advantage over the long lead times on imports.

Reasons for selling:

The owner wishes to pursue other challenges.

Trading hours:

The manufacturing process runs 24 hours Mondays to Thursdays and one day shift on Fridays

Employees:

75 weekly paid & 6 monthly paid.

Years established:

19

Other information

Support & training:

Owner can train buyer and introduce to suppliers and buyers, while staff are fully trained already.

Furniture / Fixtures value:

R7,400,000 (included in the asking price)

Inventory / Stock value:

R300,000 (included in the asking price)

Relocatable:

This business can be relocated.