| History Background |
| Fully describe the business's activities? | This outlet install radios, car alarms, immobilisers, anti-hijack units, cell phone kits and provides fitment of tracking units linked to a nationwide stolen vehicle recovery service. Situated in Alberton in ideal premises next to motor related businesses. This franchise also act as security and vehicle inspectors for Mi Way, Outsurance and Momentum. | |
| How long has the business been established? | The businesses were established over 10 years ago. | |
| How long has the owner had the business? | The owner has had the business for almost 3 years. | |
| Present Market |
| How does the business operate on a daily basis? | The business receives leads from companies, dealers, tracking company and insurance companies to provide fitment services.and motor vehicle inspection. | |
| How are the clients attracted to the business? | Tracking company advertising, Insurance companies, private individuals, dealers and businesses. | |
| What Advertising/Marketing is carried out? | Tracking company and via pamphlet drops and talking to car dealers | |
| What competition exists? | 1 other main competitor. | |
| What are the seasonal trends? | There are no seasonal trends | |
| Financial |
| Is the business VAT Registered? | The business is Vat registered | |
| What VAT documentation is on file.? | Available to serious buyers | |
| Are there up-to-date Management Accounts available? | Financial to year ended February 2010 are available. | |
| What Balance Sheet and Income Statements are available? | February 2010 | |
| What percentage of of the business is cash/credit? | 100% cash | |
| What is the age analyse of the debtors book? | 30 day payment by the tracking company for unit inserted into new vehicles. | |
| How could the profitability of the business be improved? | The new retail presence has already helped the business grow but more signage is need in the centre. | |
| Staffing |
| What is the total staff complement? | The one company has 4 qualified fitters of which one is the Workshop Manager, 3 front office staff and a cleaner/tea lady | |
| Give a breakdown of staff/functions/length of service? | Most staff members have been there in excess of 2 years. | |
| Do any receive special perks or incentives? | Annual MIGFA bonus | |
| Are they on contract? | Full time employees | |
| Do any have management potential? | No management potential | |
| How involved is the Owner in running the business? | Involved 50% in the business. | |
| Premises |
| When does the current lease end? | See below | |
| Is there an option of renewal & what period? | Lease expires in 2013 and has a 3 year renewal option. | |
| What is the annual escalation %? | 10% | |
| What are the trading hours? | Monday to Friday 8.00am - 5.00pm. Saturday 8.00am - 12.00pm. | |
| Is a copy of the lease available? | A copy is available | |
| Do you require a licence? | A licence is not required but you must be approved by the tracking company. | |
| Assets |
| Is a full asset list on file? | An asset list is available | |
| Are any items not included in the sale? | See asset list | |
| What is their overall condition? | Assets are in good condition | |
| How have they been valued. ? | Owners valuation | |
| Are they presently insured? | The assets are insured | |
| S.W.O.T. Analysis |
| Strengths? | Contract work / Security requirement for insurance / Protection / Mobile status awareness and car inspection. Premises are larger than required as they go out to clients. Negotiaite the lease and improve monthly return by R13,000. | |
| Weaknesses? | None | |
| Opportunities? | Fully owner managed with more marketing. | |
| Threats? | None perceived | |
| Reason For Sale |
| What is the reason for the sale? | Owner relocating to Natal | |
| Conclusion |
| Why is this a good business? | Contract work / Security requirement for insurance / Protection / Mobile status wareness | |
| What is the price plus stock and the net profit? | Priced at R1,300,000 including stock. | |