Travel Agency & Air Freight Agency In London For Sale

Business description

Travel Agency & Air Freight Agency Middle East & Brazil Specialists

This highly successful travel agency and air freight business was established by the current owners in 1994. Since that time it has developed to the point where it is the agency of choice in its locale, a busy, very cosmopolitan, multi cultural area of Central London. Being close to many apartment blocks and other residential locations, much of the business is generated from local people. They have proved to be loyal clientele: many clients purchase travel arrangements a number of times each year.

Reflecting the number of local residents with family connections in the Middle East, many flight bookings are made to the region. Specific relationships exist with the following airlines:

• British Midland
• Egyptair
• British Airways
• Qatar Airways
• Syrian Arab Airlines
• Royal Jordanian

Destinations in South America, with an emphasis on Brazil are also popular, where a relationship with TAM is in operation.

The business operates as a traditional high street travel agency yet has developed a niche market as a specialist in the arrangment of air travel and tailor made itineraries. Many trips are organised to the Middle East and South America. However, there is a large volume of business to all destinations, both long and short haul. Eurostar ticketing is also popular.

The company also operates an air freight service, with daily deliveries to Heathrow Airport, for onward transfer to all worldwide destinations.

The agency is fully bonded with both ATOL and IATA.


Equipment

An up to date five terminal network is installed in the office.

Customer Service

The highest levels of personal and individual service sit at the heart of the agency’s client engagement strategy.


Key Strengths

The cornerstone of this agency’s success has been the outstanding reputation it has earned with both clients and the travel industry. Outstanding relationships exist with airlines, consolidators and tour operators. This ensures that the most complex arrangements can be readily provided to the discerning clientele as well as more simple requirements. Most business is generated through personal ‘word of mouth’ recommendation and mostly through the telephone or by personal visit.

Financial Information

The business is being offered for sale on an ongoing concern basis: all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.

The business is financially stable with no borrowing and enjoys high gross margins. It has shown consistent performance since trading begun. Current turnover is circa £1,000,000 per annum of which air freight services are circa £100,000 per annum.

Business Operation

Expansion potential:

Areas for consideration which will drive growth in the business in the future include:

• Sales of a greater number of package holidays.
• Sale of travel insurance (special FSA regulations apply).
• More sales of car hire packages.
• Develop corporate market. Less than 5% of annual sales are from this important area which can be developed with additional effort and focus.

Competition / Market:

The business utilises a professionally designed, hosted and maintained website. In addition regular advertisements are placed in local, Arabic newspapers. The magazine Leros is used for the Brazilian market. At least once per annum a mailing of circa 50,000 flyers is distributed by Royal Mail to local addresses. The business would undoubtedly benefit from the development and execution of a strategic marketing plan, addressing all the above activities.

Reasons for selling:

This is a genuine retirement sale. A stage has been reached where the owners wish to retire and are offering the business for sale not only as an organically expanding going concern but with further significant growth potential.

Trading hours:

The business is open during the following hours:

Monday to Friday 10.00am to 6.00pm
Saturday 10.00am to 1.30pm

Employees:

In addition to the owners, three further members of staff are employed. One person is a fluent Arabic speaker, whilst the other speaks fluent Portuguese for the Brazilian market.

Years established:

1994

Other information

Support & training:

A period of training, familiarisation and handover will be provided to ensure a smooth transition to new ownership.