"Selling your business is our business"
"Selling your business is our business"
Fully describe the business's activities?
The business operates as a vehicle workshop and serves institutions with large vehicle fleets. The company has a "Parts" division which imports and supply specialised vehicle parts for their customers which include the supply of gearboxes, differentials and prop shafts suited for all passenger cars, light commercial, and heavy-duty commercial vehicles.
How long has the business been established?
The business was started in 2011
How long has the owner had the business?
Since inception in 2011
What steps are in place to solve 'load shedding' problems?
The premises are located near a hospital which assist with no loadshedding in the Area. There is an installed generator as back up.
How does the business operate on a daily basis?
There are management and office support staff in place, which runs the business on a daily basis.
What Advertising/Marketing is carried out?
Website
Word of mouth
Does the business have any contract work?
Yes, a large portion of the business is based on service contracts with larger institutions.
Is the business VAT Registered?
Yes
What VAT documentation is on file?
Up to date VAT reports
Are there up-to-date Management Accounts available?
Yes, management accounts ending August 2023 availible
What percentage of the business is cash/credit?
100% cash
What is the age analysis of the debtors book?
30 days
What is the total staff complement?
6 Office staff
6 Weekly staff
Are they on contract?
Yes, all on contract.
Do any have management potential?
Managment team in place
How involved is the Owner in running the business?
20%, Owner semi retired
When does the current lease end?
2024 with an option to renew for 2 years.
What are the trading hours?
Monday- Friday 7:00 -17:00
What are the main assets of the business?
Office equipment
Vehicles
Plant and machinery
What is their overall condition?
Good working order
Are they presently insured?
Yes all insured
Strengths?
Technical Expertise: Skilled and experienced technicians who understand gearbox repair and maintenance.
Specialized Equipment: Access to specialized tools and equipment for gearbox diagnostics, repair, and testing.
Quality Service: Reputation for providing high-quality gearbox repair and maintenance services.
Customer Relationships: Established relationships with loyal customers, including industrial clients and manufacturing companies.
Weaknesses?
Skills Gap: Difficulty in finding and retaining skilled technicians in a competitive job market.
Technology Adoption: Lagging behind in adopting the latest technology for diagnostics and repair.
Opportunities?
Digitalization: Embracing digital tools for efficient workflow management, customer engagement, and online marketing.
Sustainability: Offering eco-friendly gearbox solutions, aligning with the growing trend towards sustainability.
Collaboration: Partnering with manufacturers or industrial companies for long-term service contracts.
Threats?
Economic Downturn: Reduced industrial activity during economic downturns can lead to a decrease in demand for gearbox repair services.
Regulatory Changes: New environmental regulations or safety standards may require costly updates and compliance.
Competition: Intense competition from larger, more established gearbox workshops or new entrants.
Technological Disruption: Rapid advancements in gearbox technology may render existing repair methods obsolete.
Supply Chain Disruptions: Dependence on specific suppliers may lead to delays or increased costs due to supply chain issues.
What is the reason for the sale?
Owner is retiring.
Annual Turnover Amount between R 500 thousand and R 6 million
