EDUCATION – HEALTH - CORPORATE
Stock Included: Yes
Stock Value: 500,000
Years Est: 20
Gross Revenue: 1,700,000
IMMERSED IN AUTOMATIC GROWTH
EDUCATION – HEALTH - CORPORATE
IMPORTER & WHOLESALER…
…OF COMPULSORY PRODUCTS
- Pack & Go + Repeat Order + Refill System
FORTIFIED VIA - 3 ROBUST INCOME STEAMS
1. Government Endorsed Wholesaler
2. Essential Corporate Products Wholesaler
3. Cash and Carry Showroom
When you buy this business you will be joining the ranks of a few elite number of business owners who wholesale what most people would
believe to be one of most required mandatory, compulsory, consumer products in
also probably no exaggeration to say that every Business Buyer dreams of owning
a company in which demand for the
products they’re distributing is virtually open-ended and automatically
on the increase without any aggressive marketing.
Try and find another business
that can match these low risk/lifestyle key features?...
Compulsory Products –
Clients have No Choice But To Buy!
Massive 60% Gross Profit Margin
Government Endorsed Supply Approvals In Place
Established For Over
No One Customer Represents A Large % Of Sales
25 Hour Week For Owner
Owner - 11 Weeks Holiday Per Annum
Management Team In Place
No Reliance On Agencies
Only Four permanent-Staff +Casuals
Right For Expansion
Five Day Week Trading
Systematic Ease Of handling high-flow orders
No Industry Experience Required
Tax Deductable Overseas Travel
Non-Stop, Repeat Orders From Blue Customers
Growing CASH Sales
Modern North Of River Premises
no doubt, it will be another decade before you see another business as good as
BUSINESS WHERE CUSTOMERS ARE LOCKED IN
the fact that many customers have
written supply agreements, this business also retains critical information
on previous orders, suppliers and product data that any new competitor will not
have access to. In other words it simply makes moving to another competitor
costly and expensive.
all the product approvals in place from its GOVERNMENT CLIENT LIST this
business has been able to historically deliver product orders consistency both
in terms of timing and quality which creates a significant incentive for repeat
custom and provides the business with a stable secure client base.
strong influence on retention decisions is the fact that a number of larger
customers have signed supply agreements with this business confirming future
ESSENTIAL PRODUCTS DISTRIBUTION
provide essential self-propelled products where clients have no choice but to
buy, is a sure fire recipe for success.
sale and purchase of this business’s products within this automatic growth
business sector is a multi-million dollar market in Australia – one in which it
is well worth having a share of.
ENDORSED SUPPLY APPROVALS IN PLACE
also sleep easy knowing this business is positioned as one of the top five suppliers of mandatory products in WA to both GOVERNMENT DEPARTMENTS and the private sector.
it’s capable of supplying such a wide range of products, the business is easily
adaptable and can adjust its output to suit the demands of its automatic
increasing customer base. This is a business which has
experienced continued growth over the past two decades since it was
established, having outgrown its premises three times in that period.
importantly, this provides an excellent barrier for any new competitors who may
try to enter the market.
60% GROSS PROFIT MARGIN
buyers and accountants understand the level of the gross profit margin in any
business, is the key to making money safer and faster than businesses
showing lower margins.
Firstly - high gross profit margins such as this business reflects, will
signal the business has a low number of competitors who are not willing to
compete on price alone.
Secondly - there be few, if any buyers, wanting to generate high
volume sales with small margins when they could purchase a business such as
this on a 60% gross profit margin. This simply means for every $1000 in
turnover the business retains $600 before indirect expenses. And it gets better,
for this business as its expenses are considered low for the turnover it
most other wholesale businesses who have reliance on their continual supply of
products from the agencies they represent, this business lowers risk by having
their products manufactured to their specification and more importantly with
their personalised registered name branding on the finished pre-packaged
means risk is greatly reduced as this business can easily deploy a new
manufacturer to produce its products if there is a problem.
its established rock solid supply relationships with overseas manufacturers,
the business has a clear competitive advantage (both in terms of price and
quality) over many local manufacturers and suppliers. The business has also
identified a number of other products from its overseas suppliers, which can
easily be sourced and incorporated into to the existing range, thus adding
potential to increase sales with minimal outlay and effort.
again, there would be few if any other wholesalers that could match this major
low risk key feature.
FOR OVER TWO DECADES
a fact – this business is built on a solid foundation and has survived major
economic downturns such as the introduction to the GST and even the FC.
But it’s not every business which offers
both enormous growth potential and the kind of stability which will see it
weather good times and bad, providing its owners with peace of mind and
profits. This is a business which has experienced continued growth over the
past two decades since it was established, having outgrown its premises three
times in that period.
there is nothing quite like purchasing a business
that is bullet-proof.
ONE CUSTOMER REPRESENTING A LARGE % OF SALES
Business has an extensive customer list with no one customer recording a large
percentage of the annual sales. This has been a deliberate policy designed to
render the business less susceptible to business downturns arising from the
loss of large clients.
of its long period of establishment more than 20 years the business is in the
fortunate position to have built up large number of Government clients who in
turn refer this business’s products to
many thousands of customers.
INPUT FROM THE OWNER
current owner had no technical knowledge of the industry, so the role of the
working owner involves only administrative, financial and oversight duties.
tasks currently occupy approximately 25 hours per week.
is expected the new owner will have administrative experience, but need not
have industry knowledge as all the staff are in place and most are
cross-trained in one another’s duties. The business is being sold on the basis
that the new owner will manage the business in conjunction with the divisional
managers and existing staff.
the owner’s low average hours 25 hours per week, he is able to take time-out
from the business to visit suppliers and take many holidays throughout the
staff look after the business when the owner is on holidays or overseas so it
would be easy to employ a full-time manager to replace the owner if the new
buyer did not want an active role in the business.
THREE FULL-TIME EMPLOYEES
Something everybody wants, but really gets
in a business
business is in the fortunate position that it employs a relatively small number
of full time employees which currently numbers only three full time and one
part time. A small number of flexible casual staff are engaged throughout the
year to assist in warehouse operations order packing and sales functions.
of the work relates to order processing, which is easily learnt by anyone. In
most cases the staff are cross trained and can cover other workers in times of
DAY WEEK TRADING
the retail market sector moving to 7 day week trading the demand for
wholesaling businesses is outstripping supply. After all, why would anybody
want to work seven days a week when they can work five days to generate the
EASE OF OPERATION with NO industry
business is extremely easy to learn for someone without any previous industry
knowledge. This is evidenced by the fact the current owners, like the previous
owners, had no prior industry experience prior to buying the business. The
purchaser only needs to provide good management to support this generally
efficient, smooth running business.
Current owner has implemented a well-documented system that allows him to only
work an average 25hour week. This enables staff to undertake their duties buyer
a documented process which minimises the need to ask instructions from the
previously mentioned the production manager handles most of the day-to-day
operations and even fully manages the business in the owner’s absence or
extended holiday periods. He would be keen to remain in that role after the
sale, allowing a new owner to opt to undertake an administrative role like the
current owner, or consider restructuring the business to have a more hands-off
DEDUCTABLE OVERSEAS TRAVEL –
mixing business with pleasure
buyers who like to travel this business provides the added advantage of
claiming tax deductible travel on one week business trips to suppliers.
again, most other businesses cannot offer this rare feature.
have a short term life and must be continually replaced.
previously mentioned, products wholesaled by this business are compulsory and
mandatory and are sold on the basis the end user has no option but to buy. Once
again, try and find this rare risk lowering feature in any other business.
large base of regular clients communicates flow on orders, via email, online
ordering systems or phone there is no barrier to servicing customers in the
remotest areas. For this reason, it is able to continue to expand its client
base with minimal efforts expended by t
LARGE COMPONENT OF COD SALES
It is rare for wholesale to have COD cash
key benefit for the purchaser buying this business is he will need a lower
level of working capital than other wholesalers. Furthermore, analysis of the
cash component generated mostly through showroom sales is continuing to grow.
BEST IS YET TO COME!
The Buyers Unfair Advantage…
given the purchase price of this business has been based on the 2016/2017 year’s
profit, your return on investment will likely accelerate making this business
unparalleled with all others. Even better, the extra potential boost in
profitability could pay off the purchase price faster or go toward placing the
business under full management with the owner would not have to attend the day-to-day
FUTURE - LOOKS SET TO EXPAND!
on a simple - import – repackaged – distribution model, the business has the
capability to increase sales by importing other products which will enable it
to service even a larger share of the market.
what virtually guarantees that this business will remain a profit powerhouse
into the foreseeable future is the state’s population growth which is self-propelling
the expansion of its core target market. Evidence of this is the owner has
recently been advised that a number of new major customers will potentially
commence trading with this business early in 2018. An influx of new customers
has the potential to further increase profitability which the buyer is not
paying for in the purchase price.
WOULD ANYONE SELL A BUSINESS AS GOOD AS THIS?
The current owner has managed this business on a
conservative basis with little attention to generating new business. As a result, the owner has decided to
focus on other interests outside of WA.
these reason’s the business provides a great potential to increase profits by
simply introducing new products mentioned above as well as implementing a
marketing plan to secure new customers.
a new owner who has the focus and energy, this business can easily realise the
returns from several potential areas of expansion.
BETTER LOW RISK BUSINESS
more than 20 years history of supplying Western Australia Government linked
customers, this business is solidly positioned as one of the market’s leading wholesalers.
This is borne out by the fact, the business has established long term
relationships with a vast number of customers, which has resulted in a
significant level of trust and goodwill being created.
risk reducing feature for the new Buyer of this business is the widespread
client base, with its largest client accounting for only less than 10 percent
of its total revenue. This customer is considered extremely stable as it has
had a trading relationship with this business for over 10 years.
previously mentioned, the business is in the enviable position of operating in
a Mandated Government Legislated Industry that provides confidence that the
target market will be consistent and growing for the foreseeable future. This
gives the new business owner a great deal of confidence when making decisions
about the future direction of the business.
business is well-organised with documented systems, has a low number of staff,
a good mix of local and overseas suppliers, excellent margins, a broad range of
There is no doubt about it – Businesses
simply don’t operate in a better environment than this!
To make an informed decision
please contact Pat Keenan - Smith for your copy of the complete Detailed
Mobile:0413 626 633 or (08)
NEW BUSINESS LISTING - BUSINESS REPORT READY
Unlike other brokers who provide a couple of pages of basic information, the
high detailed report on this business will evaluate the staff, products,
markets, facilities, sales potential, competition, financial analysis and much
more. This usually runs over 40 pages, analysing everything you need to know to
make a quick but informed decision that will save you time, money, frustration
In dealing with Performance Business Sales you will find our carefully selected
businesses listings are of a higher quality and therefore reflect lower risk
than most businesses offered by our competitors. It will truly be worth your
while to confirm your interest in this outstanding business to avoid
This business affords the lucky buyer extreme low risk in that it has a diverse
and reliable customer base with lock-in feature. The business is poised for
progress in a variety of directions, with new potential markets ready to be
developed. This is an exceptional opportunity for a new owner willing to take
advantage of this outstanding business investment – DON’T MISS THIS!