Internal Ref: LB3448MBS
Summary
Seize the advantage of purchasing an established 50-year enterprise currently riding the wave of unprecedented growth.
Net Profit
$181,457 pa
Potential
As the population grows from 155,607 to a projected 444,000 by 2050, the area will become a center for construction demand. This population increase is driving a surge in subdivision and multi-storey dwellings, providing sustained revenue growth for the real estate and construction sectors.
The building boom is evident with $650 million in new building approvals annually, indicating sustained demand for housing. This consistent flow of approvals reflects the region's commitment to supporting the construction industry.
Skills
No skills or technical knowledge is required to operate this business model.
Hours
9 - 4pm Monday - Friday
Lease
The vendor owns the property and is open to negotiate lease terms.
Employees
1 full time dedicated employee.
Reason for Sale
Retirement.
About the Business
Seize the advantage of purchasing an established 50-year enterprise currently riding the wave of unprecedented growth. Specialising in essential product hire & wholesale supplies this business is intricately woven into Occupational Safety and Health (OSH) legislation and stands as a beacon of compliance and reliability in an industry where safety is paramount.
Why Consider This Opportunity?
This business is like no other, in which that it has been appraised on a conservative 6-year average. With sales likely to continue to increase into 2024 now is your opportunity to acquire a thriving asset.
Asset Security: 60% of the selling price in tangible assets provides reduced risk to the new owner.
Historic Legacy: A 50-year history steeped in success and growth.
Strategic Niche: Specialising in essential product hire and wholesale supplies to a growing market.
Industry Integration: Deeply embedded in the building sector, fulfilling crucial wholesale needs.
Legal Compliance: Mandated by Occupational Safety and Health (OSH) legislation.
Financial Snapshot:
Diverse Revenue Streams: 30% from essential product hire, 70% from wholesale supplies.
Steady Income: Non-consumable product hire ensures consistent revenue.
Profitability: $1.5 million turnover, 38% gross profit, and an adjusted net profit of $339,935 for 2023.
Key Features:
Established Legacy: Over 50 years in operation, 25+ under current ownership.
Operational Simplicity: Easy-to-operate business model and generous handover period.
Efficiency: Low staffing with only one full-time employee who can operate autonomously.
Market Niche: Essential products mandated by OHS legislation.
Diverse Clientele: No single client represents more than 8% of sales.
Cash Flow Excellence: Remarkable 40% of sales are COD.
Low Competition: Minimal regional competition.
Favourable Lease Terms: The vendor is happy to negotiate suitable terms.
Genuine Reason for Sale: - The owner is ready for retirement.
Seize the Momentum:
Untapped Potential: Operated on only 40% of product hire capacity – presents room for growth.
No Specialised Skills Needed: Effortlessly managed by a retiring owner and one dedicated employee.
Expand with Ease: Potential for increased product hire and wholesale supply sales.
Minimal Learning Curve: No experience necessary; easily acquire Forklift and specialised product tickets.
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