FLICK THE SWITCH
Stock Included: Yes
Stock Value: $1000
Years Est: 10
Gross Revenue: —
The business is a market leader and its service is in demand. With an established reputation for quick service and quality work, this very profitable home operated business provides a new owner with a lucrative opportunity promising ease of lifestyle and high profits.
Fast response and self-service has always given the business the edge against competitors, which allows the business to keep its pricing low, while still maintaining extremely high mark-ups, coupled with low overheads and minimal expenses. It has operated successfully for years experiencing consistent income over that time.
Many years of delivering quality services has enabled the business to establish a competitive and solid pricing structure. Set pricing gives its clients peace of mind. The current rates charged offer customers excellent value and see the business receive exceptional gross profits and repeat business from its major customers.
The business has a large database and an excellent reputation, having built up a substantial client list over its history with more than 6,000 completed jobs on the books which generate much repeat business
Secure base pipeline of work sourced from large secure industry players.
High number of returning repeat customers.
The business has built up a substantial client list. With no marketing expenditure currently, there is a large opportunity to increase the directly sourced jobs while building on the already secure source of business.
High Gross Profit Margin
Self-propelled sales and a high gross profit margin of above 90% is indicative of a business which is both solid and in a control of its market.
Low overheads, automatic growth and the capability to potentially recoup the purchase price by branching out the business model into different areas or even franchising the model interstate.
Widespread Growing Repeat Client Base
The business has exclusive arrangements with some major secure clients which deliver hundreds of customers yearly and these clients have been in place for many years. The thousands of completed jobs also drive a large repeat clientele.
The business has been managed on a conservative basis allowing a new owner many potential areas to further expand the business. Evidence of this is the business has historically reflected growth with no marketing plan, sales force or large advertising budget.
High Level of Client Loyalty
The business has many satisfied customers that have used the business over its 13-year history.
The business has little competition with just a hand full of small operators many of whom don’t have links to major customers
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.Establishing a database of repeat customers.
2.Obtaining a major customer supply.
3.Building a reputation.
Marketing is diluted by source of customers
Little marketing is required as most customers simply self-propel. This is done online via the website portal making transactions somewhat completely automated and alleviates the need of administration.
Compared to most businesses the advertising requirements are very low. However, this also leaves the business with a means of driving new business should a new owner wish grow.
Simple to Operate
The business is extremely simple to operate and can easily accommodate flexible working hours as there are no daily functions that are critical to its success. The daily activities of the owner are self-driven and while the level of effort and number of hours worked do have a direct effect, the ongoing, contracted and somewhat passive income continues regardless.
Owner Can Take Holidays
A single owner-operator will also be able to manage holidays as incoming work can be allocated to existing contractors whilst they are abroad.
Low Trading Hours
The business trades 5 days per week with some work carried out on weekends all incoming calls and e-mails are currently carried out by an administration manager. This work is minimal as most bookings are self-service via the business website thus a single operator is all that is required.
Based from Home
With systems currently in place customers need not visit the business. Thus, reducing operational costs and providing convenience.
Given the size of the annual turnover, overheads are very small.
Low Stock Holding
The amount of stock is considered minimal. Most other businesses will carry much higher values than the approximate $1000 this business carries.
Profits Can Be Proven
The business has a complete set of verified accounts.
All products are sourced easliy in Perth.
Stock holding variances:
Lowest month = $250
Highest month = $2000
Number of Full Time Staff: 1
Number of Casual Staff: 1
TOTAL NUMBER OF STAFF: 2 – (to be replaced by the new owner).
Combined current staff work approximately 35 hours per week and overlap un-necessarily. This was something the current owner implemented to prevent problems associated with staff absentee. As the current owner no longer works in the business.
This allows the business to be operated by a single owner-operator as it did originally by the current owner. Contractors can be utilised in busier periods.
The business is home operated, and it can be located anywhere. This also minimises overheads.
The business would not be affected if it was relocated and clients do not need to visit the current premises.
The future of the business appears to be outstanding as the vendor perceives the network of existing clients could be further expanded upon. This business is not reliant on passing trade, and there is no barrier in servicing or expanding the large variable client base.
There are many areas of which the business could be grown no premium has been added to the purchase price of the business for this potential.
Businesses such as this don’t often come to the market. This is because they have self-generating customers, are easy to operate and have minimal overheads. To secure this opportunity register your interest now.
Approximate Stock Value:
Number of Employees:
Property Title Included:
Business Operated from Home:
Broker/Agent ID Number: