Online Retailer Of Gifts For New Babies For Sale

Business description

On-line retailer of gifts for new babies and ‘Mums to be’

Having identified a definite gap in the market for gifts specifically for new born babies, this business was established by the current Owners approximately six years ago. It is now firmly established as one of the leading on line retailers within its sector, servicing both domestic customers and an extensive Corporate customer base which includes major organisations in both the public and private sector spread across a wide range of industries including some of the most familiar names in the UK.

Operated from premises located within the home of the current Owners and therefore requiring re-location, this business with two websites, is the place to go for anyone looking for gifts for a new born baby and the Mum to be. From baby grows, blankets, baby clothes, soft toys, and rattles right through to silver gifts including picture frames, tooth and curl keepsake box and money boxes – this is the place to go. There’s even a special range for twins. Bringing to its customers the very best of what is available on the market, what really makes this business stand apart however is the very creative way in which some of the gifts are presented – baby grows and baby clothes in the shape of bouquets or nappies in the shape of celebration cakes, for example.

With the Owners’ many years’ experience in customer service – the business is more than happy to take customer phone calls to help in choosing a gift - and e-commerce sales in particular, this company has established an enviable reputation for reliability and competitiveness as well as a high levels of friendly customer service. It has very well established relationships with its supplier base which has helped to ensure that product quality and availability is never compromised and that customers receive the highest possible quality of service. Not surprisingly, this business consistently achieves high levels of customer satisfaction. This high standard of service is matched by the operation of the business itself achieving very prompt delivery of product with items in stock despatched same day if ordered by early afternoon and next day, if later. And if it isn’t readily available, then the business will do whatever is required to get it. As a result of this very high level of customer service this business has developed a strong and extensive loyal base of customers throughout the UK.

This business is widely acknowledged as an excellent brand name within its sector. With projected turnover for the financial year ending April 2012 set to achieve £190,000, generating pre-tax net operating profits slightly in excess of £40,000, this represents an excellent acquisition opportunity for an existing operator to extend their presence in the gifting market or for a new entrant to establish an excellent foothold in the sector by acquiring a business with two prominent web-sites and tremendous potential.
Key strengths:

With the UK currently experiencing a significant baby boom, this business is operating in a fast growing market. Well thought through, this is an excellent business to be involved with - a core customer base of ‘parents to be’ at the happiest time of their lives and members of family, friends, distant relatives and their companies happy to spend money to celebrate.

In a very short period of time this business has developed an excellent name within its sector and a strong e-commerce presence. With two websites catering for both domestic consumers and the corporate sector, optimised for key search terms and appearing prominently in search engine listings, this business is readily accessible to all and ideally placed to take maximum advantage of the market situation. Carefully developed for ease of updating, the site is easy to manage with product details easy to uplift or de-list.

This business offers a wide range of quality products. It has an excellent spread of customers – spanning both the domestic and corporate sector and including some very well known blue chip names in the corporate world, many with high proportions of female staff and therefore offering good levels of repeat purchase opportunities.

Several of the gifts have been exclusively designed and uniquely packaged by this business. The business still offers excellent value, however, with a good selection across a wide range of price points, whilst still generating healthy margins. Average transaction values are in the region of £35 to £40. It has excellent trade relationships, working very closely with manufacturers and distributors, to ensure this business is stocking exactly what the customer wants. Stock levels are kept to a minimum – at £7,500 at a maximum, with stock orders fulfilled within seven to nine days across all lines.

Having successfully fulfilled a large number of web based transactions throughout its years of operation and having established an excellent track record in customer service – the business accepts Amex, greatly appreciated by its corporate customers, this business is trusted by its customers to deliver high quality goods at very competitive prices.

Financial profile:
The business is offered for sale as a going concern. All financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler.

Turnover for the financial year ending April 2012 is set to reach £190,000 generating pre-tax net operating profits slightly in excess of £40,000.

The Asking Price of £135,000 is for a sale of the shares in the limited company based on a Balance Sheet value of £12,000.

Property information

Location:

This business operates from a dedicated workspace in the Owners’ residential accommodation and as such will require re-location.

Premises details:

The business occupies a warehouse there of approximately 220 square feet on the Ground Floor with additional temporary storage secured as and when required for over runs and bulk orders.

Business Operation

Expansion potential:

There is an outstanding opportunity to build on the existing business levels and customer base of this company. With a strong demand for the products of this business, a new owner contributing fresh ideas, enthusiasm and motivation together with a little investment will have every advantage of building on an excellent platform.

Competition / Market:

A relatively new business, this company has invested heavily to date to build awareness and generate traffic from its domestic and commercial customer base. The business has developed a Corporate brochure which has now been converted into a digital version which is e-mailed to potential Corporate customers. The business also utilises search engine optimisation techniques to maximise its prominence in search engine listings, supported by a recently launched ‘pay per click’ campaign.

Reasons for selling:

Having built the business to its current excellent foundation, the current Owners feel the time is right to pass the business on to new Owners.

Employees:

03

Years established:

2006

Other information

Support & training:

The Owners will provide full business familiarisation, training and handover, covering all aspects of the business, to ensure a smooth transfer to new Owners.

Relocatable:

This business can be relocated.