"Selling your business is our business"
"Selling your business is our business"
How long has the business been established?
Since 2015, this Plumbing business has been steadily growing, and after nine years, they now hold over 60% of the market share in their wealthy area. Their presence continues to expand, with new clients coming on board every week. Despite not actively advertising outside their region other than one local publication they have been receiving increasing calls from neighbouring areas up to 20km away and beyond.
How long has the owner had the business?
9 years
How does the business operate on a daily basis?
An 8am morning meeting is held at the office where the daily tasks are discussed and issued, plus troubleshooting any outstanding problems from the day before. There are 1 qualified plumber and two tech assistants who can be left to work without supervision. One of the tech assistants is capable of installing geysers and running jobs for the business. The Master Plumber does regular training and keeps them up to date with changes in legislation.
How are the clients attracted to the business?
They have a lot of repeat customers. Due to the nature of the business the clients that they have do the advertising for them, and their number is passed on via local area based WhatsApp groups; and gated estate referrals, which work really well.
They occasionally carry out leaflet drops to estates and with security, and also have quarterly breakfast morning meetings for estate managers and property managers to network.
What competition exists?
There are other companies operating in the area; however, they do not provide the same level of service as this business does in respect of hours worked - calls outs weekends etc.. and guarantees. As a result, the competition are slowly losing customers to this business.
Their commitment to exceptional service and client satisfaction has allowed them to stand out in the market and retain a loyal customer base.
What are the seasonal trends?
There is generally one quiet month in the winter. While some of the competitors have staff on short time during this period, they usually manage well and just decrease the part-time labourers, relying solely on their staff during this time.
Is the business VAT Registered?
yes
What VAT documentation is on file?
yes
Are there up-to-date Management Accounts available?
yes
What percentage of the business is cash/credit?
90/10
What is the age analysis of the debtors book?
1 - 2 months
How could the profitability of the business be improved?
Pricing is very competitive at the moment, so there is scope to increase pricing, especially going into 2025.
Is Seller finance available and for what amount?
Not applicable.
What is the total staff complement?
3
Give a breakdown of staff/ functions/ length of service?
Plumber qualified - aprox 1 year length of service
2 x technicians experienced
1 aprox 3 years
1 aprox 4 years
Do any receive special perks or incentives?
Fuel allowance for the plumber - occasional voucher bonus and food vouchers at the end of each year as a thank you.
Company lunches and events to sustain morale as well.
Are they on contract?
Full time permanent contracts
Do any have management potential?
Full time plumber has huge potential, as he is motivated and works hard, even weekends.
He is great at communication and always feeds back the daily work. He is great at supervising and motivating and training the team.
How involved is the Owner in running the business?
Full time
When does the current lease end?
ongoing month to month of a stock room
Is there an option of renewal & what period?
not necessary
What are the trading hours?
We offer a 24/7 service
What is the square meters of the business?
approximately 20 m2
Is a copy of the lease available?
yes
Do you require a licence?
no
What lease deposit and/or other surety is required?
none
What are the main assets of the business?
Every plumber prefers his own tools - trusted name and market share are the main assets of this business.
Strengths?
24 hour service, qualified, knowledge and training in general but also with specialist systems, network, business acumen, business "partner" relationships with companies like Leakfind, Electricians, painters, bricklayers, paving specialists etc..
Also responsive communication, and a strong focus on ethics.
Weaknesses?
Cant take on any more work than they currently have, the team work to their full capacity and do long hours inclusive of weekends. New owner can expand to an additional team ASAP.
Opportunities?
More work available currently, and room to expand in to other areas.
Can consider wrapping vehicles to achieve more visibility and thus more growth.
Threats?
None.
What is the reason for the sale?
After many successful years running this business, the owner has decided it is time to retire. At 64, he is eager to embark on the next chapter of his life, which includes traveling and taking things a bit easier.
This decision comes with the intention of relocating to a new area, allowing the owner to explore new horizons and enjoy a well-deserved change of pace.
Why is this a good business?
Acquiring this business is an incredible opportunity to capitalize on the solid reputation and foundation that this team have meticulously built over the years. With a loyal and dedicated team that consistently receives positive feedback for their outstanding service, this business offers immense potential for growth.
This opportunity is not just buying a business; you're gaining a trusted brand with a strong presence in the market. The groundwork is already laid, and with the right vision and leadership, you can expand and elevate the business to new heights, creating something even more remarkable. This is a chance to step into a thriving, respected business, and take it to the next level.
