ITS SIMPLE - MANUFACTURE, INSTALL & BANK THE PROFITS!

Home > Buy a Business > Manufacturing > ITS SIMPLE - MANUFACTURE, INSTALL & BANK THE PROFITS!

seal approved PBS

graph ico

NET PROFIT
$211,000 pa

money ico

PRICE
$440,000

stock ico

STOCK
$60,000

location ico

LOCATION
South West Regional

reference ico

REF NO
0123456

broker ico

BROKER
Glenn McTaggart

SEARCH

Available Now
Manufacturing
  -  
0123456

Key Features

  • Profits up 65% from 2018 to 2021
  • South west lifestyle location
  • Well established over 16 years
  • Only 1 full time staff member
  • Essential security and privacy products
  • No previous experience needed
  • Materials imported providing additional margin

LIFESTYLE & PROFIT - EASY MANUFACTURING BUSINESS

When security and privacy are top-of-mind, this business ticks all the boxes. Our products are imported, fabricated, and installed to a wide customer base.

  • Solid year-in-year-out profits
  • Raw materials imported directly from suppliers
  • The low staff of three
  • Low stock holding
  • Low working capital requirements
  • No marketing to drive sales
  • Well positioned, modern show floor and factory

MORE ABOUT THIS BUSINESS

Self-propelled sales and a high gross profit margin of 68% is indicative of a business that is both solid and in a strong growth phase.

The business has continued to record solid financials in sales and gross profits from inception and on this basis, the owner sees no reason why this trend will not continue, especially given the fact the development and population increase forecast for the Southwest region.

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

 

The Growing List of customers currently numbers approximately 400 with no one customer representing more than approximately 10% of the annual sales. This has been a deliberate policy employed by the vendor to make the business less susceptible to major sales downturns resulting from a loss in a major customer. This is a key feature not often found in businesses of this calibre.

Our business is in the enviable position of having strong relationships with our overseas suppliers. This means that we can win quotes with quality products.

The current owners have done very little advertising in the past two years with plenty of projects coming forward. With a well-planned marketing campaign, a significant increase in sales would likely to be achieved.

The current owner had no industry experience before purchasing the business, and set about employing staff who could handle the operational aspects of the management function. As a result the new owner will not need any technical experience as it already exists within the staff employed.

TRIED & TRUE 

This simple-to-operate business was established in November 2006 by the current owners who came from a farming background. The business has gradually grown over the past 16 years and is well-positioned to maintain that growth trend.

We took the liberty to import our raw materials from overseas suppliers ensuring quality control and an increased gross margin on finished products. We pride ourselves on the supply of high-quality product installations.

Over time, the variety of product styles has changed significantly, so each project is treated individually with the majority of finished products are made to a specific requirement.

It is rare that a business captures margin at most points of the supply chain. Our large range of materials is sourced mostly direct from overseas factories so we don’t have the middle-man or wholesalers’ costs to be added.

Our business is well recognized in the region providing high-quality security and privacy products to a wide range of customers.

The current owner who started the business from scratch some 16 years ago, came from an agricultural background which highlights that no experience is necessary to run the business.

Over recent years there has been very limited marketing which has not affected demand for our products with sales and profits continuing to grow.

With additional marketing through digital platforms, television and radio advertising, and email database marketing, we believe and do not doubt that sales would increase significantly.

As the owners have retirement age, they have not gone out looking for new business, however sales could increase significantly, simply by tendering for jobs that are not currently undertaken. With our overseas contacts, we can easily bring in new product designs under our business as the name isn’t directly linked to a specific brand of fencing.

Our competitive advantage over our competition stems from having long relationships with our overseas suppliers which enables us to provide high-quality products at a competitive price.

The prime location of our modern premises is also an advantage over our competitors.

The business is in a fortunate position it needs no aggressive marketing plan or sales force to generate sales. Instead, the business relies on word of mouth referrals and website inquiries from satisfied customers to maintain its market leader status.

Bulk buying power from our overseas suppliers allows us to be more competitive by importing full container loads.

State-of-the-art equipment-materials from our overseas suppliers ensure we are well up with the latest styles and materials.

The location is close to customers for convenience. The business is located in the main retail industrial area on one of the major roads, allowing easy access and exposure.

Intellectual property relating to some customers remains with the business, as we hold their designs on file meaning reordering is easier and it’s less costly to have to redesign.

A long trading history with our suppliers, we have developed very important relationships with our trading partners since our establishment

We prides ourselves on quality of service and customers refer others to the business and return to it over the years.

Our proven construction and installation reliability allow us to schedule all jobs and we adhere to a strict calendar whenever possible (sometimes the weather has an impact) so our customers can be rest assured that we complete our work in good time.

Barriers To Market Entry

Aside from the significant capital requirements to establish a business such as this, a newcomer to the market hoping to compete with this business would face the following issues…

  1. Develop a strong brand and reputation
  2. Sourcing high-quality materials from overseas suppliers
  3. High-exposure premises

Key Features

  • Profits up 65% from 2018 to 2021
  • South west lifestyle location
  • Well established over 16 years
  • Only 1 full time staff member
  • Essential security and privacy products
  • No previous experience needed
  • Materials imported providing additional margin

info ico Enquire Now

contact broker

  • Hidden
  • Hidden


REGISTER YOUR INTEREST

Loan Calculator

$
$
  %
  years
$

$

Use these figures only as a guide.
Please contact your own financial institution for more detailed information.
Principle & Interest Interest Only
$1234.00 pcm $1234.00 pcm
$1234.00 pa $1234.00 pa
$1234.00 $1234.00