Retailer Of Aluminium And UPVC Windows Doors Conservatories For Sale

Business description

Retailer of Aluminium and uPVC Windows, Doors and Conservatories with 30 year trading history

This profitable and well known supplier of Aluminium and uPVC windows, doors and conservatories was established in 1980 by the current owners. After previously working in the industry, he decided to open his own retail outlet in a prominent city centre location. With a focus on the quality of products and customer service from the beginning, the business quickly built-up a great reputation in the market. The business supplies and fits units for private customers, commercial projects and some public sector buildings. This breath gives rise to steady and on-going revenue streams. After being established for so long, previous private individuals are now returning regularly for new orders as the move property, or for maintenance. The company, and all the window fitters are fully FENSA registered, the business is registered with the Consumer Protection Association and all work has a 10 year insurance guarantee offering.

In 2000, the owner decided that the best way to keep to the highest quality standards, and realise margins was to set-up a factory with a partner to oversee production. This manufacturing facility is also separately being marketed for sale. The units all have CE markings, and the business has exclusive sales contracts with a number of high profile international brands, with a growing market for the top of the range aluminium bi-folding patio doors manufactured to the German parent companies specifications. These high quality ranges are proving very popular in the market, with many orders received during and after exhibitions such as The Ideal Home Show.

The business receives orders from private individuals via the showrooms and follow-up visits to properties to measure and quote. Private work currently accounts for approximately 1/3 of the revenue. Another 1/3 is received from Commercial work such as large contracts with some well known names such as Ramada Jarvis, Gillette, Linden Homes and other National Building Contractors. The remaining revenue comes in from Public Sector work, with major contracts won over the years from numerous local authorities in the region for major projects including schools, hospitals and other public buildings.

Equipment:

Both showrooms are fully fitted out, with numerous product displays on site. Each showroom has credit card payment facilities, and office PC’s linked to a main server which houses financial accounts and client records.

Customer Service:

The founder of the business has focused on customer service from the outset, and this has been passed along the team to all staff. Each customer can be assured by the FENSA, Credit Protection Association and a comprehensive 10 year guarantee. With the companies focus on quality products, workmanship from the in-house sub-contracted installers, the business offers a professional service from beginning to end. This is shown by the amount of returning customers over the years, on-going commercial and public work, and the high levels of recommendation and referral.

Key Strengths:

The lengthy trading history is a great strength to the business, and the reputation of the trade name brings in customers from across the regions. Having 2 city centre showrooms is a great asset to the business and offers assurance to customers. The business is in the enviable position of having 3 different revenue streams which give the business a solid foundation, and stable levels of on-going trade. The direct links with the partner factory offer the business excellent margins, a control on product quality and a flexibility that few other retailers in the industry can compete with.

Financial Information:

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

For the last years trading the Turnover was circa £1,200,000, with Gross Profit circa £400,000 and Net Profit circa £100,000.

Property information

Property:

Leasehold

Lease terms:

The annual rent for each is approximately £10,000 per annum, with business rates payable of around £2,000 per annum.

Location:

The shop units are leasehold, and have around 10 years remaining on their fully renewable leases. Each are around 400 sq ft, with the majority devoted to display space, with small on-site management offices, toilet facilities and staff kitchenette. The annual rent for each is approximately £10,000 per annum, with business rates payable of around £2,000 per annum.

Business Operation

Expansion potential:

The business is well placed for further growth and increasing market share in a number of directions. With testimonials from well known commercial projects, the vendor is certain that with further marketing to the non-domestic sector, turnover could easily be greatly increased. There is also the potential to partner with other companies in the industry across the south east, this approach has already been successful over the years for the vendor.

Competition / Market:

The business has marketed itself over the years in local press, Yellow Pages and Thomson directories. There is a company website detailing the product ranges and the details of the shop units. The business attends major exhibitions with the partner manufacturing company, where they show the key ranges, with support promotional material from the main manufacturing companies in Germany and Belgium. Attending the Ideal Home Show, and the Home Improvement show at Sandown Park, generates some orders during the events and many follow-up orders in the following weeks and months. Public sector and Commercial work is won via direct marketing and tendering. The business receives huge amounts of business from recommendation and referral after building an excellent reputation in the marketplace.

Reasons for selling:

The vendors of the business has been in the industry for over 30 years, and as he is nearing retirement, he is looking to handover the operation to new ownership.

Trading hours:

Monday – Friday: 9:00 am – 5:00 pm
Saturday: 9:00 am – 12:00 noon
Occasional Sundays: 9:00 am – 12:00 noon

Employees:

The vendor is the Managing Director of the business, and as such is responsible for all overall operations and business administration. Assisting with business admin is a full-time Office Secretary and part-time book-keeper. In the showrooms, there is 1 full-time showroom Manager, and 2 full-time sales executives who are self-employed and commission only. In the field is a full-time Surveyor / Service Engineer who has been with the business for close to 30 years. There are 2 installation teams of each with 2 self-employed fitters working together. Each has been with the business a number of years, they are fully approved, and work to the highest standards.

Years established:

1980

Other information

Support & training:

The vendor will be delighted to agree to a handover period for the successful transition of operations to new owners.