| History Background |
| Fully describe the business's activities? | This is 4 star graded 24 bed, all en-suite boutique and conference centre situated on the East Rand. Has been graded a 4 star and boasts a superb restaurant with seating for 100 inside and 32 outside. The hotel has a magnificent bar area leading on to the patio with braai facilities. | |
| How long has the business been established? | The owner purchased the property which was fully converted into a boutique hotel one year ago. | |
| How long has the owner had the business? | The current owner has had the business for over a year. | |
| What steps are in place to solve "load shedding" problems? | Generator with AMF (Auto Computer) | |
| What is the average KW usage? | 80KW | |
| Present Market |
| How does the business operate on a daily basis? | The hotel operates on a 24 hour basis with the kitchen open 16 hours of the day. | |
| How are the clients attracted to the business? | Situated close to a main road with major signage, banner, internet and a marketing program to attract clients. | |
| What competition exists? | Normal competition in the area of O R Tambo but none in such surroundings without noise pollution from aircraft. | |
| What are the seasonal trends? | December, January and April are the quieter months by about 25%. | |
| Financial |
| Is the business VAT Registered? | It is Vat registered | |
| What VAT documentation is on file.? | As required | |
| Are there up-to-date Management Accounts available? | Available only to serious and approved buyers. | |
| What Balance Sheet and Income Statements are available? | As required. | |
| What percentage of of the business is cash/credit? | 90% of the transactions are internet transfers and credit card. | |
| What is the age analyse of the debtors book? | Excellent. | |
| How could the profitability of the business be improved? | Build on existing customer base and normal cycle of time in the market. | |
| Staffing |
| What is the total staff complement? | The staff comprises 10 cleaners, 4 receptionists, one hotel manager, and bar and restaurant staff. | |
| Give a breakdown of staff/functions/length of service? | One year. | |
| Do any receive special perks or incentives? | There is a bonus structure in place. | |
| Are they on contract? | The staff are on contract | |
| Do any have management potential? | Yes, there is management potential | |
| How involved is the Owner in running the business? | The manager has other business interests and manages the hotel on a part time basis. | |
| Premises |
| When does the current lease end? | The property and land is owned by the seller. | |
| What are the trading hours? | 24 hours a day in the hotel and 16 hours of the day in the restaurant. | |
| What is the square meterage of the business? | The improvements are 2500m² and the land is 6500m² in extent and owned by the seller. | |
| Do you require a licence? | Yes a liquor license is required. | |
| Assets |
| Is a full asset list on file? | Yes, and as it is large it will be made available to serious buyers only. | |
| Are any items not included in the sale? | Certain paintings may be excluded. | |
| What is their overall condition? | The assets are new | |
| How have they been valued. ? | At cost | |
| Which assets are on lease/HP and with whom? | None at all | |
| Are they presently insured? | Yes, the assets are insured | |
| S.W.O.T. Analysis |
| Strengths? | Ideal location near O R Tambo, Tourism industry, 2010 Soccer world cup etc, | |
| Reason For Sale |
| What is the reason for the sale? | The owner cannot dedicate time to successfully manage all his businesses and wishes to scale down his operations. | |
| Conclusion |
| What is the price plus stock and the net profit? | The hotel is graded 4 star. Price is R29,5m plus stock of R200,000 | |