Asking price: £650,000

Sales revenue: £500,000

Net profit: £119,000

Fixtures value: Undisclosed

Stock value: Undisclosed

Business description
Retailer and Corporate Supplier of Carpet, Rug & Lino Flooring

This well established family business has been successfully operated since 1918. This retailer and commercial supplier of carpet, rug & lino flooring has a strong trading history and excellent reputation for offering a professional and efficient service to corporate houses like BBC studio’s and film sets etc, where it has very little competition and great future opportunity. The business has achieved an enviable reputation and has a solid network of suppliers and sub-contractors.

The showroom is fully stocked with all quality lines of carpets, rugs and lino flooring. The business has fully experienced staff and professional sales people and installers. The quality of services and competitive prices make this business a worthwhile opportunity for a new owner with turnover and profits increasing.

This long established company has a sound turnover and profit, good cash flow, easy to run and with no bad debts. The business has become the market leader in its marketplace and has developed a loyal customer base and has undertaken several significant projects. There is a choice of hundreds of quality carpets, lino and rugs in a variety of shapes, sizes and textures, which are all supplied by leading manufacturers.

This business offers an ideal opportunity for a new owner to take an already thriving business to the next level. This company has been built around excellence, and has the reputation to back it into a new ownership. By expanding the hours of operation and implementing more advertising, new ownership could most certainly see growth in this business.

Customer Service:

This is a well established family run business which has been serving the corporate houses and commercial & domestic market for over 91 years. They have an outstanding reputation for value for money, reliable delivery, quality service and guarantee and above all a complete satisfaction mentality throughout the company.

Key Strengths:

The business is well established and very profitable, with a strong and growing customer base, retaining a high level of return custom; a great many of whom having done so on a regular basis and for many years. The company has earned an outstanding reputation for its honesty, service, reliability, casual and open customer experience, excellent quality and highly knowledgeable and experienced staff. The retails shop is fully stocked with all quality lines of carpets, rugs and lino flooring. The core strengths of this company are its adaptability and its reliability to deliver on time every time.

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. The business is financially stable with positive cash flow and enjoys a strong order book.

The business currently achieves turnover circa £500,000 per annum, gross profit circa £274,000 with a net profit circa £119,000 per annum. Adjusted net profit is circa £144,000 and assets including stock is circa £180,000.

Years established: 1918

Employees: The vendor is involved full time in all aspects of the current operation and is supported by a hard working and loyal team of staff. This includes a full time manager, two full time warehousemen and a retail assistant.

Trading hours: The business is open Monday to Friday 8.30 am to 5.00 pm.

Property: Leasehold

Lease terms
Current rent is approx. £19,000 p.a. for retail unit and approx. £11,000 per week for the wholesale unit.

Location
The premises incorporate an excellent showroom area and offices, and have the possibility of further expansion in the future. Long frontage with display units in a highly visible position plus wholesale unit opposite, all well kept; with excellent signage .The 6 year lease runs from 2008 with 3 yearly rent reviews for both retail and wholesale units. The premises are leasehold, a new lease is available with terms being fully negotiable. Current rent is approx. £19,000 p.a. for retail unit and approx. £11,000 per week for the wholesale unit.

Expansion potential
This business is in a prime position for someone to drive it forward onto the next level. It already has a solid foundation from which to build on by way of a pro active marketing plan. There are excellent opportunities to increase the levels of business by employing more carpet fitters, opening longer hours and getting more customers from domestic and commercial sector also. The current market for this business is growing and is forecast in the near and longer term for significant growth. The business is well positioned to take maximum advantage of this growth.

Competition / Market
By far the most cost effective marketing for this business comes from its prime locations this business enjoys testimony to the excellent reputation this business has, particularly amongst its regular Clientele. There is virtually no current advertising undertaken, but the business has an informative website which allows the user to find out details regarding the business and the range of products on offer. The business has found that the site has performed well and consistent growth will be achieved by building on this success.

Support & training
The owner will provide full business familiarisation, training and handover to ensure a smooth transition of the business to its new owners.

Reasons for selling
This is a genuine retirement sale. The owner is moving abroad following successful handover of business.