A Wholesale Service Business That Loves Recessions!

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NET PROFIT
$270,425 pa

money ico

PRICE
$780,000

stock ico

STOCK
$15,000

location ico

LOCATION
Perth Metro North

reference ico

REF NO
GN10275T

broker ico

BROKER
Graham Nankivell

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Wholesale
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GN10275T

Key Features

  • Essential health, safety & cost saving products
  • Established 40 years - proves low risk
  • New 10 year supply contract
  • No cash flow ploblems - 45% of debtors paid on delivery
  • Full price funding potential
  • Forward leaping sales - 63% over 3 years
  • Only 2 full-time staff

Wholesaler 79% Gross Profit + 63% Growth Rate = Extreme Low Risk!

.

Finally...

...A Wholesale Service Business

That Loves Recessions

.

LEGENDARY

Household Name Products

 

It's A Licence To Make Money

What More Could You Want?

 

  • Exclusive High Demand Products - Grows without any dedicated sales Staff

 

  • Growth In hard Economic Times -  63% Profit growth From 2016 to 2019

 

  • Wide-Reaching, Protected Territorial Rights - Restrict Competition

 

  • Only Two Full-Time Staff -  An easy, Hassle-free operation

 

  • Multi-Billion Dollar Industry - Self Propels Sales

 

  • Proven Results Over 40 Years Of Establishment

 

It Just Doesn't Get Better Or Safer Than This!

FASTEN YOUR SEATBELT! ...
...You’re Just in time for the NEXT GROWTH PHASE.

 

Its market-leading edge COST SAVING and safety products; many of which are widely acclaimed, are distributed by this business under a protected territorial rights agreement. In fact, it’s hard to imagine a consumer who does not have a need for this business’s extensive range of products.

With the business not even scratching the surface, the new owner will have multiple growth opportunities to potentially double the existing profit with minor capital investment.

MORE ABOUT THIS BUSINESS

Our 80-page high detail business report outlines the possibilities for expansion are really so numerous, that upon examination, it can be clearly seen that the problem for management is not so much to locate avenues for expansion but to select the ones of greatest advantage from the many available.

To date, sales and profit have been somewhat self-propelled, which has allowed this business to post a $270,425 adjusted net profit for last financial year.

Despite being conservatively managed, the business has accelerated its profit at NECK-BREAKING SPEED to reflect an impressive 63% increase from 2016 to 2019.

RECESSION DEFYING – THREE YEAR SALES AND PROFIT PERFORMANCE…

2016/17

SALES = $480,119

GROSS PROFIT MARGIN = 78.69%

ADJUSTED NET PROFIT = $164,985

2017/18

SALES = $522,538

GROSS PROFIT = 79.28%

ADJUSTED NET PROFIT = $215,400

2018/19

SALES = $615,112

GROSS PROFIT = 79.18%

ADJUSTED NET PROFIT = $270,425

Essential Household Name Products:

It’s broad range of exclusive, recession-resistant, branded products are focused on health, safety, and everyday cost-saving items which has proven to self-propel sales and profit by customer demand.  In fact, the business does not employ a single dedicated salesperson.

You’ll sleep easy knowing, profit has increased by around 63% from 2016 to 2019, despite trading through one of the worst economic downturns ever experienced in W.A. This shows – the harder the economic downturn, the faster sales can potentially grow.

Self-Propelled By One Of The Largest Industries In Australia Onward, upward sales and profit trend can be directly attributed to the business supplying essential products to many multi-million-dollar growth industries. The 3-year growth rate of 63% and a huge 79% gross profit margin is living testament to the low-risk industry this business operates and profits within.

Sales Leverage - Via Iconic Australia Wide Branding:

With 40 years of essential proven “must-have” household name products as well as a high demand for its branded product range makes this business so good, you’ll want to keep it forever.

NEW 5 Year Plus 5-Year  Wide-Reaching Territorial Supplier Agreement:

Offering something most wholesale business Buyers want - but rarely get - is a new long-term product and supply contract which not only fortifies your exclusive broad product range but also future proofs customer retention. Indeed, there would be few if any other businesses that could beat this business on customer and supplier retention features.

Cash Flow Like No Other Wholesaler:

Around 45% of sales are paid on finalisation and delivery of order, thus minimising the need for high working capital. This means the risk of bad debts is a scarcity.

RECORDS ARE MEANT TO BE BROKEN…
…AND THAT’S EXACTLY WHAT’S BEEN HAPPENING HERE FOR YEARS!

To date, sales and profit have been somewhat self-propelled, which has allowed this business to post a $270,425 adjusted net profit for last financial year.

Despite being conservatively managed by the current owner, the business has accelerated its profit at NECK-BREAKING SPEED to reflect an impressive 63% increase from 2016 to 2019.

UNRIVALLED, LOW-RISK FEATURES

Hard To Find In Other Businesses…

 

1         Wide territorial boundary rights:

Offers the owner potential to double the existing net profit with minimal further capital outlay.

2.         Established 40-years – recognised as an industry pioneer

Not only has the business survived countless recessions (including the one Australia had to have), the introduction of the GST, change in Governments, The GFC and the recent banking royal commission; all of which hardly put a dent in this business’s outstanding sales and profit performance.

3.         Only two full-time Staff:

Low staff of only two make the business easy to manage and avoids the normal staff problems experienced in other businesses.

4.         Can this business buy itself?

Although you will need your banks approval of the required real estate equity to gain approval of a full price loan, the current adjusted net profit of $270,425 can potentially support full-price loan repayments, while still providing you with a substantial cash surplus. This means the business can potentially repay the full price principal and interest monthly loan repayments from its profit while leaving you a huge cash surplus. Indeed – There is nothing quite like a positively geared investment. Use our loan calculator on the right-hand side of the screen – just enter your personal parameters (for example 10 year term @ 6% interest with no upfront deposit) and see the results for yourself.

5.         Low working capital

This is a high cash flow business with some 45 percent of debtors paying for the goods on delivery.  This provides the business with an excellent cash flow, resulting in minor working capital requirements. In comparison, most other wholesale distribution businesses often require huge amounts of extra capital in addition to the price.

6.         High Gross Profit margin and high invoice value of each order.

Self-propelled sales and a high gross profit margin of 79 percent is indicative of a business which is both solid and in a strong growth phase. Margins as high as this are only usually found in low competition businesses. In addition, compared to businesses that have customer transactions under $10, this business produces invoices ranging from $200 to $500.

7.         Simple to operate – no experience necessary

This is not a difficult business to master – the owner’s role requires only common-sense operational business skills. Having all essential systems well documented to virtually a Quality Assured level, any new Buyer will find it EXTREMELY EASY TO LEARN and run. In fact, it is also mandatory for the new owner to be fully trained in the business operations by both the owner and supplier prior to settlement date. This also means It will be difficult if not impossible, to find this transparency in other businesses.

8.         A High-level of customer loyalty – All Year Round Sales Confidence

From its large database of repeat order clients, it’s also unusual to find a business where many customers have been trading with the business for such long periods of time. But then again – this makes complete sense, as many of its clients HAVE LITTLE CHOICE BUT TO CHANNEL THEIR ORDERS through this business because of its authorised exclusive branded products.

And, as if it couldn’t get any better; customer retention is further locked-in, as a number of large Australia wide corporate customers have contracts with the supplier for products, and as a result, retains this business fulfil orders on “preferred supplier” status. This exclusive supplier arrangement effectively wins the order by eliminating competition.

9.         40-year, long-established profit history

With such a long trading history, you’ll feel secure, knowing this is an extremely strong business which is primarily self-driven by essential products growing in demand – not by choice, but because many products are seen as a necessity in protection of health, safety and saving costs. Understandably, this according to the owner, what makes this business increase sales in an economic downturn while others fail.

10.         Minor overheads

Given the size of the annual turnover, overheads are relatively small.

11.        Low average stock holding only approximately $15,000

This amount of stock is considered minimal for a business of this size. Most similar businesses will carry much higher values than this, which will demand higher working capital requirements and unnecessary money tied up during the term of ownership.

12.         Profits can be proven

The business has a complete set of verified accounts which clearly demonstrates its profitability. An audit trail of invoices, Statements and Bank deposits will verify sales and profit 100%.

13.         Most Wanted Products – Used By Millions

As previously mentioned, this true wealth builder is not dependant on boom and bust industries such as mining and construction. Essential motivations for end-users to purchase products are related to cost-saving, health, comfort, maintenance and security.

There’s NO STRESS – NO HASSLE when you know sales and profits are SELF-DRIVEN, from NON-STOP repeat orders that arrive daily from a long-established monopoly customer base, attached to a multi-billion dollar high growth industry.

 

FOR THOSE WHO DON’T WANT TO BUY RISKThis Blue Chip cash-flow wholesaler offers you…

 

…BEST Growth Prospects – For The Future

…BEST Profit – Hard To Beat 79% gross Profit

…BEST Products –  Most products are Essential

…BEST Business You’ll Be Convinced When You Read Our full-colour high detail business Report

 

This is a sure-fire time-tested profit maker You’ll never find another business as safe or as good as this!  

 

Key Features

  • Essential health, safety & cost saving products
  • Established 40 years - proves low risk
  • New 10 year supply contract
  • No cash flow ploblems - 45% of debtors paid on delivery
  • Full price funding potential
  • Forward leaping sales - 63% over 3 years
  • Only 2 full-time staff

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JUST SOLD

A snapshot of recent successful Business sales include:
  • SOLD Plasma Metal Cutting - Sold in 3 weeks - $4,250,000
  • SOLD Glass Film Wholesaler - Sold in 3 weeks - $2,130,000
  • SOLD Automotive S/W - Two full price offers presented in 3 Days - $720,000
  • SOLD Automotive Industries - Sold in 2 weeks with no advertising - $2,450,000
  • SOLD Food Wholesaler - Sold in under a week - Full price offer - $2,950,000
  • SOLD Coffee Import Wholesaler: Sold in 3 weeks - full price offer - $2,350,000

To avoid disappointment, register your interest and book your 80-page business report which is due to be completed on the 23/3/2020

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