IMMEDIATE EXPANSION OPPORTUNITIES

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NET PROFIT
$333,000 pa

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PRICE
$850,000

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STOCK
INCLUDED

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LOCATION
Perth Metro South

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REF NO
GMC013627/23

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BROKER
Glenn McTaggart

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Sales & Installation
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GMC013627/23

Key Features

  • Essential service unaffected by economic downturns
  • Well established business with a great reputation
  • A low risk business with a good balance of sales and service
  • A large portion of the purchase price is made up of plant and equipment
  • Well trained, professional, loyal staff in place
  • Immediate expansion opportunities to increase domestic sales and service
  • Loyal blue-chip customers for both sales and ongoing service

FOUR KEY REVENUE GENERATORS - SALES, INSTALLATION, SERVICE and MAINTENANCE

In today's dynamic business landscape, a successful enterprise thrives by diversifying it's revenue streams.

This business ticks all those boxes!

This business has thrived for nearly 25 years and due to its diverse nature provides a constant cashflow that is not affected by seasonal demand.

Self propelled sales and a high gross profit margin of 60% is indicative of a business which is both solid and in a strong growth phase.

The growing Perth population will require the continued building of infrastructure and facilities to accommodate it, such as schools, sports facilities, community centres, hospitals etc., and all these new buildings will require these products.

The vast majority of sales are simply self-propelled which means that the current owner does not have the overhead of running a sales force.

The business mainly focus on commercial and industrial customers and enjoys ongoing support from a number of blue-chip customers who they have serviced for a number of years. For a new owner there is immediate opportunity to expand into the domestic market.

Many of our tradesmen have been with the business for nearly 20 years and as a result the business maintains a huge knowledge base which results in successful outcomes, prompt diagnosis and quick finalised repairs for our clients. This is a distinct customer retention feature of the business. 

The business is very fortunate to have well-qualified, loyal trades people who are able to work unsupervised the majority of the time.

These essential products and services are provided by the business to customers such as hospitals, commercial offices, restaurants, hotels, supermarkets, medical facilities, factories and more.

Medical facilities, such as hospitals, clinics, and laboratories, rely on these products and services to ensure sensitive medications, vaccines, and specimens maintain efficacy. The team are experienced in providing medical-grade service and solutions that meet the stringent requirements of the healthcare industry.

This business attracts new customers through word-of-mouth from referrals from existing customers or leads from our website.

This increased demand for these products is seen to maintain across diverse sectors, including food and beverage resellers, office spaces, retail establishments, healthcare facilities, and hospitality venues.

Furthermore, government regulations and building codes often mandate the use of these products to ensure occupant comfort, health, and safety. Compliance with these regulations further drives the market demand for sales and services in the industry.

Since the business is not heavily involved in the construction industry, the business is not significantly affected by slowing economies in this sector. While the construction industry may experience fluctuations in economic conditions, the focus on the business in sales and services allows us to maintain a level of stability.

While construction activities may be impacted by economic downturns, this business in particular remains resilient as the prime focus on providing essential product solutions and service.

Our competitive edge lies in our expertise and extensive experience within the commercial market. Our core strengths are primarily concentrated in the commercial sector, where we excel in handling larger and more technically advanced machines.

The commercial market for these products in Western Australia is poised for significant future growth. As the country’s economy continues to thrive, the demand for commercial spaces, such as offices, retail and hospitality establishments, and industrial facilities, are expected to rise. This increase in commercial infrastructure will naturally drive the need for efficient and reliable products to ensure comfortable and conducive environments for employees, customers, and occupants.

We exclusively offer products from reliable manufacturers to ensure only trade in the finest quality. Whenever possible, the business avoids lower value products as they carry a greater chance of disappointing clients.

Population and a strong Western Australian economy supported by mining and a growing population creates demand for goods, services, and infrastructure, which stimulates economic activity and investment. As more people settle in Western Australia, it leads to increased consumer spending, housing demand, and job creation across various sectors.

Extreme weather events, such as heatwaves, have become more frequent and intense in many regions. As a result, people are increasingly turning to these products to cope with high temperatures and maintain comfortable indoor environments.

In addition, as the population grows and consumer preferences evolve, the need for proper food storage, preservation, and display in commercial establishments like restaurants, supermarkets, and convenience stores will continue to rise.

The total client base numbers are approximately just over 3,000 customers, of which repeat order clients represent approximately 20% of total sales per annum. The largest customer represents only 5.8% of annual sales and has had a trading history with the Business for 20 – Years.

The business runs systems that are cloud based allowing global usage without risk of a server crash which would otherwise debilitate the workflow.

A high percentage of the purchase price is made up of modern plant and equipment. Compared to low asset businesses, this business reflects a lower risk and and potentially delivers a higher bottom line profit through being able to minimise its tax through claiming depreciation as a non cash expenditure expenditure item on its long life equipment.

Key Features

  • Essential service unaffected by economic downturns
  • Well established business with a great reputation
  • A low risk business with a good balance of sales and service
  • A large portion of the purchase price is made up of plant and equipment
  • Well trained, professional, loyal staff in place
  • Immediate expansion opportunities to increase domestic sales and service
  • Loyal blue-chip customers for both sales and ongoing service

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