Performance Business Sales Phone : (08) 94 ****
Pat Keenan-Smith
08 94 ****

0413 ****


An Environmental Necessity WHOLESALE :: DISTRIBUTION COMFORT AND CONSUMER COST-SAVING PRODUCTS

Listing Id : 260704

Location : Western Australia -Perth

Category : Wholesale, Wholesale Distribution, Service

Asking Price : $1,450,000

Business description

 

Dominating Its High Growth Market Makes It  Easy…

… To Predict The Massive Potential That Lies Ahead

There are few businesses which dominate a market to such an extent that its closest competitor is also one of its regular customers. THERE SIMPLY CAN BE NO BETTER SITUATION for a business to be in than to be a SOLE-AGENCY wholesale, distributor of products which improves comfort, health, promotes wellness and most importantly; saves on rising everyday living costs.

Its market-leading products; some of which are internationally acclaimed, are distributed under exclusive WA territorial right agreements. In fact, products are of such a high quality, they specified by Government Departments and are without equal. In fact, it’s hard to imagine a market segment that 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 on which the purchase price was based on.

WHY THIS BUSINESS LOVES RECESSIONS…

ESSENTIAL PRODUCTS CANTERED AROUND HEALTH AND WELL-BEING, AGED CARE, EDUCATION, AND EVERYDAY CONSUMER AND LIVING ENVIRONMENT IMPROVEMENT COST SAVING PRODUCTS.
EXTENSIVE FORWARD ORDER LEDGER DRIVEN BY CUSTOMER DEMAND – CURRENTLY SITS AT $900,000
CUSTOMER RETENTION AND PROTECTION THROUGH EXCLUSIVE WA SUPPLIER AGREEMENTS
LONG TERM HISTORICAL PROFIT GROWTH – OVER 4 YEARS PROFIT HAS INCREASED 100% IN TOUGH ECONOMIC TIMES
CURRENT ADJUSTED NET PROFIT OF $474,416 CAN SUPPORT FULL-PRICE FUNDING LOAN REPAYMENTS
LOW STAFF AND OVERHEADS.
65% IN CASH PAYING DEBTORS (RARE IN WHOLESALING) MINIMISES THE NEED FOR WORKING CAPITAL
WIDE TERRITORIAL BOUNDARIES TO DOUBLE THE EXISTING NET PROFIT

 

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 $474,716 adjusted net profit last financial year. Despite being conservatively managed, the business has accelerated its adjusted net profit at NECK-BREAKING SPEED to reflect an impressive 100% increase from 2014 to 2018.  However, having a fortified profit is only part of this once in a lifetime buying event!

 

GUARANTEED SALES – IT WON’T GET BETTER THAN THIS!

 

Rarely found in other businesses and included in the price is the companies large forward order ledger, which is currently valued at around $900,000. Depending on the Settlement date, this key feature means the new owner will have a large proportion of his/her first year’s sales locked in from day one in the business.

 

 

EASY TO MANAGE – EASY TO LEARN

 

The new owner will have the benefit of being fully supported by a professional, reliable and stable MANAGEMENT team, using efficient and effective administration processes and software management systems, which makes both learning and managing the business easy.

 

 

THIS BUSINESS HAS UNRIVALLED,

LOW RISK FEATURES NOT FOUND IN OTHER BUSINESSES…

 

Low working capital

This is a high cash flow business with some 60 percent of debtors paying COD.  This provides the business with an excellent cash flow, which minimises working capital. Compared to most other wholesale distribution businesses, the inclusive purchase price including working capital will be lower in the acquisition of this business as only minor working capital will be required. 

Essential Products

Because of the health and well-being benefits and cost savings offered by its products, the adjusted net profit has grown a massive 100 percent from 2014 to 2018. Furthermore, with the current forward order ledger valued at around $900,000, the 2018/19 financial year looks set to once again eclipse the previous year which the purchase price was based on.

High Gross Profit margin and large dollar value orders.

Self-propelled sales and a high gross profit margin of 41 percent is indicative of a wholesale distribution business which is both solid and in a strong growth phase.            

Could easily be placed under full management if the new owner does not want to participate in the day-to-day operations as key supervisory staff are in place. Excellent documented procedures and systems mean the new owner could work in accordance with his/her lifestyle requirements.

Simple to operate – no experience necessary

This is not a difficult business to master; orders and distribution from the warehouse are organised by staff. The owner’s role requires only common-sense operational business skills.

Owner can take holidays

The current owners always take four to five weeks holiday each year, and the experienced team have been proven to be fully competent to handle the business while the owners are on leave proving the business could easily be placed under full management for a non-participating owner.

Exclusive territorial contractual supply contracts – means low risk

The Business has established exclusive supply arrangements with a broad range of clients. Of its large cross-section of clients, many include automatic growth industries such as Aged Care, Government and Education making this a low-risk, self-propelled easy managed investment.

High level of client loyalty

From its massive database of repeat order clients, it's also rare to find a business where many customers have been trading with the business since its inception eight years ago. But then again – this makes complete sense, as many businesses HAVE NO OTHER CHOICE BUT TO CHANNEL THEIR ORDERS through this company because of its monopoly WA sole agency products. As if it couldn’t get any better; Customer retention is further locked-in, as many clients have contracts with this business, and provide “preferred supplier” status, specifying the products it carries in their orders which effectively wins the order by eliminating any competition.

Long established - eight years

Since its inception, the business’s sales have been in an upward trajectory despite the recent lumps and bumps in the economy. You'll sleep easy, knowing this is a strong business, self-driven by increasingly essential products growing in demand – not by choice, but because of need.

Low competition

Competitors are much less significant than this business, and as a result, are unable to take on large volume work orders. Added to that, many competitors are forced to purchase products from this business as it holds the SOLE AGENCY TERRITORIAL RIGHTS for key product distribution in WA.

Minor overheads

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

Low average stock holding only approximately $250,000

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.

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 100%.

No bad debts

The business has not experienced any bad debts during the last 4 years.  The business has a formalised and highly effective credit account system, which includes procuring the customers Personal Guarantees on account application forms.

Extensive forward order ledger – free and included in the asking price!

As previously mentioned, the business has around $900,000 in confirmed forward orders, which will generate immediate revenue for the new owner.

Fortified potential future growth locked in

UNSTOPPABLE GROWTH! :: It's so safe – you could BET YOUR LIFE ON IT! – Especially when sales and profits are SELF-DRIVEN, from NON-STOP repeat orders that arrive daily from a long-established customer base making it hard to go wrong.

Systemised For Ease Of Operation

The business has a proven formula for success, following a documented management system that makes administration easy to learn for owners, staff and managers alike.

Most Wanted Products – Used By Millions

Not dependant on boom and bust industries such as mining. Essential motivations for end-users to purchase products are related to cost saving, health, comfort, maintenance and security.

 

THIS BUSINESS IS FOR THOSE BUYERS WHO DON’T WANT TO BUY RISK – This Blue-Chip CASH-FLOW Wholesaler offers you…

…BEST Growth prospects to double existing profit

…BEST Guaranteed sales forward order ledger

…BEST Essential product range

…BEST Business to place under full management

…BEST Business this year

 

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

In fact, missing this business opportunity can be likened to losing that winning lotto ticket!

 

IF YOU THINK IT GETS SAFER AND EASIER THAN THIS – THEN KEEP ON DREAMING!

To avoid disappointment, register your interest in claiming your 110-page business report NOW.


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